05-05-2025 “I Can’t Tell You Why” Margins Fell Apart
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Look at the markets, up all night
Tearing our loans apart.
Market chaos rips margins. Most hedgers can’t tell their superiors why the margins fell apart, forcing them to manage budgets dangerously.
Buyers bought 4.44 in the 10-year yield, leading to a bear trap and reviving the Bulls. Look for a sub-4% in the 10-year yield as it gains momentum. So, our 10-year yield target of 3.60 is back.
Every time, hedgers go sideways.
Something makes them change the way they trade.
Yet, they can’t tell you why
These views are mine. You can know why at TMSpotlight.com.
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Song: I Can’t Tell You Why (1979) Eagles
Les Parker, CMB Managing Director, Transformational Mortgage Solutions
Les Parker is the Managing Director at Transformational Mortgage Solutions Advisory Board Member for Ainsworth Advisors; and has served as the Senior Vice President of Industry Relations and Consulting at LoanLogics, a technology and services provider focused on improving mortgage loan quality, performance, and reliability throughout the loan life-cycle. His responsibilities included managing the company’s life of loan analytics and monitoring capabilities, overseeing consulting services, contributing to the strategic planning team, and communicating with industry leaders to develop and maintain positive relationships. He focused on identifying threats and strategic opportunities. Parker has executive mortgage banking experience in capital markets, servicing, operations, production, and financial management. Parker has served as director of the largest private issuer of CMOS. His educational background covers music, religious studies, mortgage banking, mathematics, and business administration. Parker holds a BBA in Finance, and other degrees, and has held numerous securities licenses. Parker is a Master Certified Mortgage Banker, a designation conferred by the Mortgage Bankers Association. Parker writes, speaks, and provides audio content, Since the late 1980s, he publishes a daily newsletter connecting global macroeconomics to the US interest rate movement.