Mortgage Loans in Forbearance Declines in U.S. to 6.87 Percent

The Mortgage Bankers Association is reporting in their most recent Forbearance and Call Volume Survey that the total number of loans now in forbearance decreased by 6 basis points from 6.93% of servicers’ portfolio volume in the prior week to 6.87% as of September 20, 2020. According to MBA’s estimate, 3.4 million homeowners are in forbearance plans.

The share of Fannie Mae and Freddie Mac loans in forbearance dropped for the 16th week in a row to 4.46% – a 9-basis-point improvement. Ginnie Mae loans in forbearance remained flat compared to the previous week at 9.15%, and the forbearance share for portfolio loans and private-label securities (PLS) also remained flat, at 10.52%. The percentage of loans in forbearance for depository servicers decreased 7 basis points to 7.11%, and the percentage of loans in forbearance for independent mortgage bank (IMB) servicers decreased 3 basis points to 7.23%.

“The share of loans

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MENA countries post sharp declines in export; sovereigns face borrowing pressure

Countries in the MENA region are experiencing some of the sharpest contractions in exports, and some sovereigns will face severe borrowing pressure in early 2021 due to economic shocks due to COVID-19, says Moody’s.

Investment-grade emerging market sovereign bond issuance climbed above $107 billion by the end of June, 53 percent higher than in the first six months of 2019, according to data from the global ratings agency.

The impact of COVID-19 has widened existing fiscal and external imbalances in emerging and frontier markets, the service said in a new research report.

Moody’s Sovereigns Global report said COVID-19 is exacerbating liquidity pressures which have caused severe stress or default for some sovereigns.

“We expect double-digit contractions in exports for emerging and frontier market economies in most regions in 2020,” said the report.

“The sharpest contraction will be in the Middle East and North Africa, among Gulf Cooperation Council (GCC) oil

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