Secondary

PNC Financial Services said its residential mortgage business lost $13 million in the first quarter due to its servicing portfolio hedging activities and lower loan sales income.

Kroll Bond Rating Agency added its voice to the chorus of credit rating agencies downplaying the risks of mortgages that fail to comply with new consumer disclosure rules.

FHFA Director Mel Watt acknowledged that the principal reduction program may seem "too small and too late."

Total mortgage income at B of A was $433 million, down from $694 million a year ago as the strategy of putting loans on its balance sheet meaning the bank gets less gain-on-sale revenue.

Mutual of Omaha Bank and an affiliate of PlainsCapital Bank in Dallas have partnered to sell residential mortgages.

Fannie Mae and Freddie Mac surged to four-month highs on speculation lawsuits involving the mortgage giants have progressed in a way that favors shareholders.

Fannie Mae has priced a $1.15 billion credit-risk sharing transaction through its Connecticut Avenue Securities series.

Fannie Mae is selling four large pools of nonperforming loans which have a total balance of $1.5 billion.

Radian Guaranty's new reinsurance agreement will only cover single-premium mortgage insurance policies, a first for the company. These policies have higher capital requirements under the new secondary market standards.

The Consumer Financial Protection Bureau faced hostile questions from two judges during oral arguments before a federal appeals court Tuesday as it sought to argue the constitutionality of its single-director structure in a lawsuit brought by nonbank mortgage lender PHH Corp.