Trader Mike

The Chairman posted a link to an article about a “bank run” on Countrywide Financial Corp. (CFC) . I just had to shake my head and laugh after reading that article. I’ve been watching that company, which happens to hold my mortgage, closely this year. Back in March when the subprime/credit concerns first got serious and just after New Century blew up, I posted this in my links section:

Mortgage Lenders Whistling Past the Sub-Prime Graveyard? — I just noticed this Countrywide (CFC) ad on my site. I wonder how much longer we’ll be seeing these.

Here’s the ad I was linking to:

It just seemed incredible to me that Countrywide, …

I’m not sure what just caused this air pocket in the market but these note from the Mortgage Bankers Association (MBA) that hit right at noon must have contributed to the slide:

12:02 MBA says U.S. MORTGAGE DELINQUENCY RATE 4.95 PCT IN Q4, UP FROM 4.67 PCT IN Q3 AND FROM 4.70 PCT IN Q4 2005

12:02 MBA says subprime borrowers more vulnerable to higher interest rates, slower home price gains or price drops

12:01 MBA pushes back forecast for housing market to regain footing to end of 2007 vs middle of year

12:01 MBA says delinquency rates rose in 49 states in Q4; foreclosure inventory rates grew in 44 states

12:01 Late payments rise …