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Capital One

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http://biz.yahoo.com/ap/070820/capital_one...gages.html?.v=5

Closing it's wholesale mortgage arm in the US and shedding 1900 jobs.

Bear food if ever I've seen it.

This is positive news for 2 reasons:

First - it shows that "competition forces" are not afterall going to keep inappropriate rates of lending to the sub prime population. Put another way, the markets are making it simply too expensive to hook idiots into loans they would take out but cannot afford. This will save heartache for would be borrowers and lenders.

Secondly - its another corpse pulled from the wreckage. Get them out, onto the table, speaking metaphorically.

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http://biz.yahoo.com/ap/070820/capital_one...gages.html?.v=5

Closing it's wholesale mortgage arm in the US and shedding 1900 jobs.

Bear food if ever I've seen it.

The job losses in the Financial Services sector in the US has begun in earnest. Countrywide have also announced layoffs

http://news.yahoo.com/s/nm/20070820/bs_nm/...wide_layoffs_dc

I expect we are going to see a lot more of the same in the run up to Christmas.

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This is positive news for 2 reasons:

First - it shows that "competition forces" are not afterall going to keep inappropriate rates of lending to the sub prime population. Put another way, the markets are making it simply too expensive to hook idiots into loans they would take out but cannot afford. This will save heartache for would be borrowers and lenders.

Secondly - its another corpse pulled from the wreckage. Get them out, onto the table, speaking metaphorically.

I think the long knives will be pulled out for the post -mortem.

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This is positive news for 2 reasons:

First - it shows that "competition forces" are not afterall going to keep inappropriate rates of lending to the sub prime population. Put another way, the markets are making it simply too expensive to hook idiots into loans they would take out but cannot afford.

And i think mostly shows that all loan sellers can no longer pass on / sell their own sub standard loans to third parties as there are no takers and they dont want sub standard stuff on their own books.

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And i think mostly shows that all loan sellers can no longer pass on / sell their own sub standard loans to third parties as there are no takers and they dont want sub standard stuff on their own books.

Id like to agree but Thornburg in the US found buyers for $20.5bn mortgage book rated -AAA. Given that the market worries +AAA could be junk, I'm amazed anyone is still buying this stuff. Attached post link for reference.

http://www.housepricecrash.co.uk/forum/ind...mp;#entry738914

I will watch with interest to see the DOW reaction tomorrow - my expectation is that it will fall 1 - 2 % on this and other news but nothing more.

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What's in your Wallet?

F all! I was just laid off by Capital One! :lol:

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What's in your Wallet?

F all! I was just laid off by Capital One! :lol:

Loving the new lines of breakfast cereal, has swervin' mervyn got one in the pipeline? ^_^

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Id like to agree but Thornburg in the US found buyers for $20.5bn mortgage book rated -AAA. Given that the market worries +AAA could be junk, I'm amazed anyone is still buying this stuff. Attached post link for reference.

http://www.housepricecrash.co.uk/forum/ind...mp;#entry738914

I will watch with interest to see the DOW reaction tomorrow - my expectation is that it will fall 1 - 2 % on this and other news but nothing more.

The after hours trading action from the market after this news was subdued - it didn't fall much, I think there aren't many buyers of mortgage debt left, more after hours news...

WASHINGTON (MarketWatch) -- Giant mortgage-buyer Fannie Mae will skip a benchmark debt offering for the first time since May 2006, the company said Monday, prompting an analyst to declare that demand for high-rated mortgage paper is "scant" amid an investor boycott of mortgage-backed securities.

http://www.marketwatch.com/news/story/fann...p;dist=hplatest

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http://biz.yahoo.com/ap/070820/capital_one...gages.html?.v=5

Closing it's wholesale mortgage arm in the US and shedding 1900 jobs.

Bear food if ever I've seen it.

It seems that contagion is spreading right across the USA.

From Bloomberg.

http://www.bloomberg.com/apps/news?pid=206...&refer=home

Thornburg specializes in adjustable-rate ``jumbo'' loans of more than $417,000. Those mortgages are made to people with good credit, though because of the loans' size, they don't qualify for purchase by Fannie Mae or Freddie Mac.

``Through no actions of ours and through minimal risk-taking on the part of the company, we had to incur a $930 million loss in order to be sure that the company survives,'' Goldstone said in the interview. ``We don't have bad loans, we don't have a bad credit portfolio, we spent 14 years building a reputation as a premier, high-quality mortgage company, and in one week the market has destroyed a lot of that value and a lot of that hard work.''

How long before OUR prime lenders over here start to squeal?

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Loving the new lines of breakfast cereal, has swervin' mervyn got one in the pipeline? ^_^

Mervyn Munch? Quarter Point Krispies? Indecision flakes? I'm open to suggestions! :D

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I think Merv's beaten you to it:

King%20Vitaman.gif:lol:

excellent! :lol::lol:

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CDO Pops?

Merv's Mortgage Munch?

Special Rate? :)

specialratevg8.jpg

:lol:

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