Elliott
Elite Member
- Joined
- Apr 23, 2002
- Professional Status
- Certified General Appraiser
- State
- Oregon
The bond vigilantes aren't letting 'rates' go lower despite what the Fed wants. With a positive employment number and lower unemployment rate, the bond market moved 10 basis points this morning. The 10-year is 4.76% and the 30-year is up to 5%. So mortgage rates are headed up.
(1/9/25) "Bank of America Braces for Massive Bond Losses as Yields Soar
Barron’s estimates that Bank of America’s paper losses on a portfolio of $568 billion of bonds, mostly U.S. agency mortgage securities, could widen to $111 billion or more, compared with $86 billion at the end of September.
Industrywide, total unrealized losses could top $500 billion, up from $364 billion at the end of the third quarter. These losses involve all banks insured by the FDIC. The total potential losses would still be narrower than the nearly $700 billion at banks at the end of the third quarter of 2022."
(1/9/25) "Bank of America Braces for Massive Bond Losses as Yields Soar
Barron’s estimates that Bank of America’s paper losses on a portfolio of $568 billion of bonds, mostly U.S. agency mortgage securities, could widen to $111 billion or more, compared with $86 billion at the end of September.
Industrywide, total unrealized losses could top $500 billion, up from $364 billion at the end of the third quarter. These losses involve all banks insured by the FDIC. The total potential losses would still be narrower than the nearly $700 billion at banks at the end of the third quarter of 2022."
