By John Sauro
United States Court of Appeals Grants a Stay
On Tuesday, the National Association of Mortgage Brokers (NAMB) has had their request for a temporary restraining order (TRO) against the Federal Reserve Board’s rule denied by Judge Beryl Howell. The NAMB immediately filed an appeal and on Friday The United States Court of Appeals for the District of Columbia granted a stay on implementation of the final rule. The stay delays the enforcement date of the rule which was to take effect today, Friday, April 1, 2011.
The stay was granted by Appellate Judges Karen LeCraft Henderson, David Tatel and Brett M. Kavanaugh, and a date of appeal was set for this coming Tuesday, April 5, 2011. This is an important win forour industry and the consumers we serve. To learn more about how this effects you, please go to www.repealfinreg.com
Bond Prices Improve
Mortgage Bonds traded in a wide range today after New York Fed President William Dudley said that the economic recovery remains tenuous and helped to move Bond prices higher. The 4% coupon climbed 12bp to end at 98.31 and well off the intraday low of 97.25. For now I suggest floating, not locking into 30 year fixed rates, as prices hover above a floor of support.
The Jobs Report came in at 216,000, which was above expectations of 185,000. And 230,000 were created in the private sector – which was also better than expectations and offset a decline in government jobs. The Unemployment Rate surprisingly dropped by 0.1% to 8.8% – the lowest unemployment rate since March of 2009.
The Case-Shiller Index, reading on home prices within the 20 largest US cities, showed a 3.1% decline in prices year over year, .slightly better than expectations of a 3.3% decline.