DoubleLine is boosting investments in securitized products. The firm recently raised close to $1 billion for a fund aimed at MBS and ABS.

While it may seem the Fed’s actions can directly affect mortgage rates, Wells Fargo analysts said any such effect may get counterbalanced.

The trading desk will purchase both 30-year and 15-year fixed-rate agency MBS. All trades will be conducted through FedTrade.

Bank of New York Mellon is no longer an approved MBS document custodian for Ginnie Mae.

Thanks to the spread of the coronavirus, markets became unglued this week as stock prices plummeted. Meanwhile, Treasury yields fell while mortgage rates actually increased. Confused? Welcome to the club.

Industry-wide holdings of residential MBS were steady in the fourth quarter, but several REITs shifted their focus to non-agency MBS and other investments. (Includes data chart.)

Since the financial crisis, the Fed’s main policy tool has been to lower interest rates by purchasing Treasuries and agency MBS. However, with rates on these securities at record lows, this strategy may no longer work.

Freddie has priced in excess of $8 billion in multifamily CRT so far in 2020 while Fannie has added more than $10 billion of MCIRT.

Freddie Mac saw a much bigger decline in monthly volume than Fannie Mae and Ginnie Mae. February issuance suggests a tapering in refinance demand. (Includes two data charts.)

Rates have fallen to historic lows, with MBS values rising. However, as the weekend approached uncertainty prevailed. The wild card: prepayment speeds.