Secondary Market

The story of the London Interbank Offered Rate (Libor) scandal added another chapter in March as Freddie Mac brought suit against Barclays, Bank of America, Citibank, and several other institutions for investment losses related to alleged rate-rigging practices.

With an upbeat assessment of the economy, the Federal Open Market Committee (FOMC) voted 11-1 Wednesday to leave interest rates unchanged and to continue its program of purchasing agency mortgage-backed securities (MBS) and longer-term Treasury securities to "maintain downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative." Kansas City Fed President Esther George, who opposed a similar action in January, cast the lone dissenting vote.

Designing Spaces, a home improvement show airing on Lifetime Television, will feature an appearance from Equity Loans LLC. A representative from the Atlanta-based lender will feature on the show as part of an upcoming "Arming Yourself with Home Loan Knowledge, Tips for Successful Ownership" segment.

Deloitte's Consumer Spending Index experienced a minor bump in February as "a decline in initial unemployment claims and a rise in real average hourly earnings offset negative forces," the company reported Wednesday. The index, which tracks consumer cash flow as an indicator of future spending, rose slightly to 4.0 last month from a reading 3.9 in January. While the increase was relatively small, it turned around three straight months of declines and showed consumers are weathering the payroll tax increase well.

David Stevens, president and CEO of the Mortgage Bankers Association (MBA), announced the promotion of Kenneth Markison, Esq., to VP and regulatory counsel. In his new role, Markison will lead and manage MBA's public policy initiatives around residential loan production, legal issues, and regulatory compliance.

Three industry analysts gave testimony before a Senate committee on housing finance reform Tuesday. While all three experts expressed support for more private capital and less government involvement, the proposed degrees of government support varied. Currently, about 90 percent of single-family mortgages have some form of government backing.

LenderLive Network Inc., an end-to-end mortgage services provider, hired two industry veterans for executive positions.

Prices rose in February for the 11th straight month as markets across the country picked up speed, according to Redfin's Real-Time Price Tracker.

Mortgage Cadence LLC announced that Langley Federal Credit Union (FCU) in Virginia will now use the Symphony platform to support its expanding mortgage program.

Richard Cordray's nomination to continue leading the Consumer Financial Protection Bureau (CFPB) is headed to the Senate following a vote from the Committee on Banking, Housing, and Urban Affairs Tuesday. The committee confirmed Cordray's nomination by a party-line vote of 12-10, with Republican members keeping to their vow to not support any potential leader until CFPB's structure is fundamentally changed. Ranking member Sen. Mike Crapo specifically criticized the agency's spending, which he says is not as transparent as it should be.