Quote: Oct. 10, 2023

We strongly urge the Fed to make two clear statements to the market:

-The Fed does not contemplate further rate hikes;
-The Fed will not sell off any of its MBS holdings until and unless the housing finance market has stabilized and mortgage-to-Treasury spreads have normalized.
–From a letter the Mortgage Bankers Association, National Association of Realtors and National Association of Home Builders sent to the Federal Reserve System’s Board of Governors to convey concern that ongoing market uncertainty about the Fed’s rate path is contributing to recent interest rate hikes and volatility.