Dirt-Cheap U.S. Mortgages Thwarted by $5 Billion in Margin Calls

Bloomberg, May 5, 2020–Shahien Nasiripour
The Federal Reserve’s emergency rescue of the U.S. mortgage market should have set off a celebration among lenders trying to keep up with demand from borrowers. Instead, executives at Quicken Loans got a hefty margin call. That was just a fraction of the pain the Fed unintentionally inflicted on lenders in mid-March when it announced plans to buy a massive amount of mortgage securities. (MBA mention)