The New York Federal Reserve purchased $9.81 billion in agency MBS on Monday and Tuesday, in addition to $22.89 billion bought last week. It’s been nearly three weeks since it sold any of its MBS holdings.

Former Ginnie President and current PennyMac Director Ted Tozer thinks so.

The REIT’s plan to terminate its management agreement with PRCM “for cause” would let it off the hook from paying a $144 million termination fee. But PRCM isn’t going down without a fight.

By examining how well LIBOR has correlated over time with actual bank funding costs, Federal Reserve economists have demonstrated the London rate is no better at this task than risk-free rates like SOFR.

Look for originations and securitizations to thrive the rest of the year. As for 2021, the non-QM market could be strong.

The average daily trading volume in MBS continues to head south as new creation proliferates and investors worry about the Dow blowing up again.

The Financial Stability Oversight Council wants to take a close look at the secondary mortgage market but isn’t letting on about its agenda. Maybe a “housing czar” will come out of this, some wonder.

With overnight funding in the agency repo market hovering around 15 basis points and term repo rates a shade above the one-month LIBOR, yields for agency mREITs could edge upward, KBW analysts predict.

Ginnie Mae will soon start accepting electronic promissory notes and other digitized loan files as collateral for its MBS program.

Despite the dampening effect of the coronavirus early in the second quarter, total MBS and ABS issuance soared to a record $790 billion. Agency single-family MBS accounted for 94% of total issuance. (Includes four data charts.)