Mortgage Loan

Stocks recover from housing blues - CNNMoney.com -- Stocks finished higher Wednesday after spending most of the day in the red, following another round of dismal housing news.

The Dow Jones industrial average gained 20 points, or 0.2%, the S&P 500 rose 3 points, or 0.3%, and the Nasdaq composite climbed 18 points, or 0.8%.

Stocks sold off sharply immediately after the housing data but managed to recoup some losses as homebuilding and housing material stocks crept higher.

New home sales drop 12.4% to record low - CNNMoney.com -- New home sales unexpectedly fell in July to the lowest level on record as the housing market continued to suffer from the end of the homebuyer tax credit boost.

New home sales dropped 12.4% to a seasonally adjusted annual rate of 276,000 last month, down from a downwardly revised 315,000 in June, the Commerce Department reported Wednesday. Sales year-over-year fell 32.4%. Commerce started tracking new home sales in 1963.

Sales were forecast to tick higher to an annual rate of 334,000 in July, according to a consensus estimate of economists surveyed by Briefing.com.

Plunging home sales could sink recovery - CNNMoney.com -- With home sales plunging to their lowest level in 15 years, economists warn that a double-dip in housing prices is just around the corner, threatening to further slow the overall recovery.

Existing home sales sank 27.2% in July, twice as much as analysts expected, to a seasonally adjusted annual rate of 3.83 million units. Much of that drop is attributed to the end of the $8,000 homebuyer tax credit.

That credit brought buyers out in droves, as they tried to sign home contracts before the April 30 deadline. Now, two months later, sales are 34% below April's tax incentive-induced peak.

The sales pace of all homes -- single-family homes, townhomes, condominiums and co-ops -- is at the lowest since NAR began tracking the figure in 1999. Sales of single-family homes, which account for a bulk of the transactions, are at the lowest level since May 1995.

Inventory has also continued to climb, rising 2.5% to 3.98 million existing homes for sale. That represents a 12.5-month supply at the current sales pace, the highest since October 1982 when it stood at 13.8 months. A six-month of supply is considered normal.

Stocks lose big on home sales shock - CNNMoney.com -- U.S. stocks closed sharply lower Tuesday after a report showing a worse-than-expected plunge in existing home sales reignited fears about an economic slowdown.

The Dow Jones industrial average sank 134 points, or 1.3%, the S&P 500 lost 15 points, or 1.5%, and the Nasdaq composite fell 36 points, or 1.7%.

"Economic reports have been close to disastrous," said Joseph Saluzzi, co-head of equity trading at Themis Trading. "People are very concerned about the economy and everyone is talking about a double-dip [recession] at this point."

Disappointing economic news has sent investors flocking to the perceived safety of Treasurys and the Japanese yen, which hit a 15-year high against the dollar early Tuesday.

Stocks slump at the close - CNNMoney.com -- U.S. stocks ended a choppy day of trading lower Monday, as a dismal economic outlook overshadowed earlier optimism fueled by takeover talk.

After starting the session sharply higher and seesawing throughout the day, the Dow Jones industrial average lost 39 points, or 0.4%, the S&P 500 ticked down 4 points, or 0.4%, and the Nasdaq composite dropped 20 points, or 0.9%.

It's been a rocky ride for Wall Street over the past couple of weeks, as investors have shifted their focus between positive company news and gloomy economic readings.

Disappointing reports on jobs, manufacturing and economic activity battered confidence last week, dragging the Dow and S&P lower for the second straight week.

Monthly Housing Scorecard: Administration Touts Increased Price Stabilization - The U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury have released the August edition of the Obama Administration's Housing Scorecard. The August 2010 Scorecard was marked primarily by how few changes were evidenced since the July Report.

Housing prices have been relatively flat on a month to month basis since January 2009 when they ended their 30 month decline.  Historic low interest rates continued to promote home affordability and refinancing options for the nation's families, but few people were taking advantage of it either to purchase a home or refinance their existing one. 

Overall, the market remains fragile with foreclosure starts showing a slight increase and serious delinquencies continuing to work through the pipeline. MND has described the housing market as "stagnant".

Stocks end at new 2010 lows - CNNMoney.com -- Stocks ended a volatile session lower Friday, with the major indexes ending at new 2010 lows in the aftermath of a weaker-than-expected June jobs report.

The Dow Jones industrial average lost 46 points, or 0.5%, after having been on both sides of the unchanged line through the session. The Nasdaq composite slipped 9 points, or 0.5% and the S&P 500 index dropped 0.5% as well.

The Dow and Nasdaq ended at fresh 8-month lows and the S&P 500 at a 9-month lows.

Treasurys mixed after jobs report - CNNMoney.com -- Treasury prices were mixed Friday after an employment report from the government showed the first monthly decline in U.S. payrolls this year.

What prices are doing: The price of the 10-year note fell 8/32 to 104-15/32 and its yield held steady at 2.98%. The 2-year bond was flat at 100 with a yield of 0.63%, and the 5-year note held steady at 100-10/32, yielding 1.82%. Meanwhile, the 30-year bond fell 27/32 to 107-19/32 with a 3.94% yield.

What's moving the market: Demand for the safety of government debt was tepid after a report showed a larger-than-expected monthly decline in jobs, as investors entered a long holiday weekend.

The Labor Department said 125,000 jobs were lost last month, the first decline in U.S. payrolls this year. The drop was largely due to the loss of 225,000 census jobs that had inflated payrolls by 433,000 net jobs in the previous month.

Stocks at new 2010 lows - CNNMoney.com -- Stocks slipped Thursday, but managed to trim bigger losses, after worse-than-expected readings on manufacturing, housing and the labor market fueled fears that the economy is heading for another recession.

The Dow Jones industrial average lost 41 points, or 0.4%, for its lowest close since Oct. 30. The Nasdaq composite lost 8 points, or 0.4%, closing at its lowest point since Nov. 4. The S&P 500 lost 3 points, or 0.3%, closing at its lowest point since Oct. 2.

Treasurys give up gains - CNNMoney.com -- Treasurys turned lower in late afternoon trading Thursday, after they had posted gains earlier the day on three disappointing economic reports.

What prices are doing: The price of the 10-year note ended the day 4/32 lower, at 104-23/32 with a 2.95% yield. Meanwhile, the 30-year bond was flat at 108-18/32 and a 3.89% yield. The 2-year note hovered around 100, with a yield of 0.64% and the 5-year note slipped 5/32 to 100-11/32 with a 1.81% yield. Bond prices and yields move in opposite directions.

Pending home sales 'fell off a cliff' - The experts expected home sales to drop once the homebuyer tax credit lapsed at the end of April, but the depth of the decrease was shocking.

According to the National Association of Realtors (NAR), pending home sales fell a whopping 30% in May. Their index, which measures signed sales contracts but not closed sales, plunged to 77.6 from 110.9 in April. It's even off 15.9% from a year ago when the nation was barely emerging from the recession. 

"The pending home sales report is a disaster," said Mike Larson, a real estate analyst for Weiss Research. "Sales fell off a cliff after the tax credit expired. It's the biggest monthly decline ever and the index is at its lowest level since NAR began tracking it in 2001."

Lawrence Yun, NAR's chief economist downplayed the damage a bit. According to him, customers rushed into deals to claim the credit, borrowing from May sales. Once the economic recovery comes into full swing, housing markets will heat up.

Stocks dive as second quarter ends - CNNMoney.com -- Stocks finished lower after a late-session retreat, as investors piled out of a downbeat quarter that ended with Wednesday's session.

The major indexes had teetered on either side of breakeven throughout the day as investors weighed a weak jobs report against an improved European bank outlook that provided earlier support.

But all three indexes turned down sharply as the session ended. The Dow Jones industrial average lost 96 points, or 1%, to finish at 9,774.02. The S&P 500 closed down 1% at 1,030.71 and the Nasdaq lost 1.2% to end at 2,109.24.

Treasury prices slip - CNNMoney.com -- Treasury prices ended mixed Wednesday as investor appetite for safe-haven assets faded a day after prices surged and the benchmark 10-year note's yield fell to a 14-month low below 3%.

What prices are doing: The 10-year note edged up 3/32 to 104-25/32 and its yield fell to to 2.94% from to 2.96% late Tuesday. The 2-year note shed 1/32 to 100-1/32 and its yield was 0.62%. The 2-year note's yield fell Tuesday to 0.59%, a record low. The 30-year bond rose 23/32 to 108-14/32 with a yield of 3.93%. Bond prices and yields move in opposite directions.

Foreclosures sell at 30% discount - Foreclosures accounted for a third of all sales -- and sold at a nearly 30% discount -- during the first three months of 2010.

According to a new report from RealtyTrac, the marketer of foreclosed properties, 31% of all sales were foreclosures. And homebuyers purchasing those properties paid a whopping 27% less, on average, compared to sales of non-distressed homes.

These foreclosure sales include properties sold in short sales or after a bank repossession, known as REOs in industry terms. It does not include transfers from borrowers to banks, as in a sheriff's auction.

Stocks end flat after choppy session - CNNMoney.com -- U.S. stocks recovered from deep losses Wednesday and finished a choppy session near the previous day's closing levels as investors considered mixed economic news and BP's agreement to establish a $20 billion escrow fund and cancel its quarterly dividend.

The Dow Jones industrial average closed up 5 points, or 0.1%. It was down by as much as 72 points earlier in the session, following a disappointing report on the housing market. Rebounding from an 8-point loss, the S&P 500 index finished less than 1 point down, or 0.1%, and the Nasdaq composite added half a point. The tech-heavy index was 16 points lower earlier.

Treasurys rise on renewed Spain fears - CNNMoney.com -- Treasurys turned higher Wednesday after renewed fears about Spain's debt pushed investors back to the safe-haven appeal of U.S. bonds.

What prices are doing: The benchmark 10-year note rose 7/32 to 101-27/32, with a lower 3.29% yield. The 30-year bond climbed 6/32 to 102-26/32, yielding 4.21%. The 5-year note rose 2/32 to 100-9/32 and yielded 2.067%, while the 2-year inched up 1/32 to 100, yielding 0.75%. Bond prices and yields move in opposite directions.

75% of modified home loans will redefault - Most borrowers who have had their mortgages modified through a government-sponsored program will redefault within 12 months, according to a report released Wednesday.

Between 65% and 75% of loans that are modified through the Home Affordable Modification Program but not backed by the federal government are likely to go bad, according to the report released by Fitch Ratings, a N.Y.-based credit-rating agency.

The main reason these borrowers continue to struggle is that HAMP does nothing to solve the rest of their debt problems, the report added.

Currently, according to the Fitch report, about half of prime borrowers who lose their homes now do so through foreclosure. The other 50% go through short sales, in which they sell their homes for less than what they owe the bank, or deed-in-lieu, a transaction where the bank takes back the property directly and forgives the outstanding balance.

Stocks stage big rally - CNNMoney.com -- Stocks surged Tuesday, pushing the Dow up over 200 points, as worries about Europe's debt woes hurting U.S. growth eased and the euro rallied.

The Dow Jones industrial average gained 214 points, or 2.1%. The S&P 500 index gained 26 points, or 2.4% and the Nasdaq composite gained 62 points or 2.8%.

Stocks gained from the get go Tuesday, as strength in European markets and a rally in the euro reassured investors worried about how global growth will impact the U.S. Solid demand for government debt auctioned in Spain, Belgium and Ireland helped take the edge off euro zone growth worries.

Treasurys fall as euro strengthens - CNNMoney.com -- Treasurys turned lower Tuesday as demand for the safe-haven assets diminished on easing fears about Europe's debt crisis and a strengthening euro.

What prices are doing: The benchmark 10-year note slipped 15/32 to 101-20/32 in trade. Its yield rose to 3.31% from 3.26% late Monday. The 30-year bond lost 23/32 to 102-19/32, yielding 4.22%. The 5-year note decreased 7/32 to 100-7/32 and yielded 2.09%, while the 2-year fell 2/32 to 99, yielding 0.77%. Bond prices and yields move in opposite directions.

Stocks erase gains on Greece - CNNMoney.com -- Stocks gave up gains by the close Monday after Moody's downgraded Greece's debt rating, reminding investors that Europe's economic woes aren't going away anytime soon.

The Dow Jones industrial average lost 20 points, or 0.2%, the S&P 500 index lost 2 points, or 0.2%, and the Nasdaq composite ended little changed.

Stocks gained soundly in the morning after a report showed a big jump in industrial output in Europe, boosting the euro and reassuring investors about the global recovery. But the advance lost steam in the early afternoon on news that Moody's cut its debt rating on Greece to "junk status."

CNNMoney.com -- Treasurys edged lower Monday as upbeat economic data from the euro zone boosted the euro, limiting the demand for safe haven assets.

What prices are doing: The benchmark 10-year note fell 8/32 to 102, pushing the yield up to 3.26% on Monday from 3.22% late Friday. The 30-year bond lost 21/32 to 103-6/32, yielding 4.19%. The 5-year note fell 3/32 to 100-13/32 and yielded 2.05%, while the 2-year was flat at 100-1/32, yielding 0.74%. Bond prices and yields move in opposite directions.

Big boost for stocks , Dow gains 273 - CNNMoney.com -- A stock rally gained momentum Thursday, with the major indexes hitting highs for the day in the last minutes of trade, as concerns over Europe's debt crisis and its impact on the global recovery were calmed by a sharp boost in Chinese exports and a strengthening euro.

The Dow Jones industrial average finished up 273 points, or 2.8%. The Dow closed above 10,000 for the first time this week. The S&P 500 index gained 31 points, nearly 3%. That was thanks to a bounce in energy shares that dragged on the market during the previous session. The Nasdaq composite rose 60 points, or 2.8%.

Treasurys lower as risk appetite returns - CNNMoney.com -- Treasury prices fell Thursday as risk appetite returned to the markets after reassuring remarks out of Europe.

What prices are doing: The benchmark 10-year note fell 1-5/32 to 101-19/32, pushing the yield up to 3.31% on Thursday from 3.18% late Wednesday. The 30-year bond dropped 2- 5/32 to 102-11/32, yielding 4.24%. The 5-year note inched 19/32 lower to 100-4/32 and yielded 2.10%, while the 2-year note was down 4/32 to 99-30/32, yielding 0.78%. Bond prices and yields move in opposite directions.

Homebuyers could get more time for tax credit - First-time homebuyers looking to land an $8,000 federal income tax credit may have a little more time to close on their purchases if a Senate amendment unveiled Thursday makes it into law.

As it stands now, homebuyers must have signed contracts by April 30 and must close the deal by June 30. They could be eligible for an $8,000 tax credit if they are first-time buyers or a $6,500 credit if they owned and lived in their previous home for five of the last eight years.

The closing deadline, however, could be pushed back to Sept. 30 under an amendment offered by Senate Majority Leader Harry Reid, D-Nev., Sen. Johnny Isakson, R-Ga., and Sen. Chris Dodd, D-Conn. The senators said they want to make sure banks have time to process the transactions -- especially short-sales, which is a more involved process.