The second round of mortgage banker earnings reports for the third quarter drained some of the positive results for the industry as two key players – Ally Financial and PHH Mortgage – posted significant losses. Ally – the fifth largest lender in the industry in 2011 originations – reported a $311 million net loss in continuing mortgage banking operations, following a string of positive results that ended with $47 million in net earnings in the second quarter. Company officials blamed the downturn on poor performance on its servicing asset valuations and hedges. The company reported a $471 million net loss on... (Includes one data chart)