Morning Report - G-fee hikes and LLPA increases delayed

Vital Statistics:

	Last	Change	Percent
S&P Futures	1805.8	3.7	0.21%
Eurostoxx Index	3037.7	6.7	0.22%
Oil (WTI)	98.84	-0.2	-0.20%
LIBOR	0.248	0.003	1.02%
US Dollar Index (DXY)	80.73	0.103	0.13%
10 Year Govt Bond Yield	2.95%	0.02%
Current Coupon Ginnie Mae TBA	104	0.3
Current Coupon Fannie Mae TBA	102.8	-0.1
RPX Composite Real Estate Index	200.7	-0.2
BankRate 30 Year Fixed Rate Mortgage	4.52

Markets are higher this morning on news the IMF would raise its outlook for the economy. Bonds and MBS are down small.

Personal Incomes increased .2%, lower than expected, but consumer spending increased .5%. The Chicago Fed National Activity Index came in better than expected.

It looks like Mel Watt plans to delay the g-fee hike and the new LLPAs for conforming loans. He wants to evaluate the impact these would have on credit. Ed DeMarco was a "protect the taxpayer" guy. Watt is a CRA guy. 

Interesting story about hedge funds in the rental business. Here are the cash buyers in this market. What happens when a big distant hedge fund with no ties to the community becomes the biggest property owner? 

Interesting editorial about income inequality - The numbers in the studies Obama looks at exclude transfer payments, employee benefits, and our highly progressive tax code. When you include those numbers, the Gini coefficient actually fell in the 90s and the 00s. The punch line: economic booms tend to benefit the poor and the middle class, and recessions tend to hurt them. This can be an issue when the guy leading the country cares more about inequality than growth.