- UPDATE 3-Obama to address new economic ideas next Wednesday
- Factbox: Details of cargo plane which crashed in Dubai
- Curfew declared after 7.1 quake hits New Zealand | Video
- Steve Jobs: iTunes 10 Icon Does Not 'Suck'
- Sofia Coppola takes insider's look at Hollywood A-lister | Video
- God did not create the universe, says Hawking
- Analysis: Democrats face grim election prospects
- God did not create the universe, says Hawking
- Taxpayers likely to face initial loss on GM IPO: sources
- Apple's jump into social networking not a slam-dunk
| Report Title | Price |
|---|---|
|
Provider: Standard & Poor's STARS Report
|
$35.0
|
|
Provider: Stock Traders Daily
|
$18.0
|
|
Provider: Plunkett Research, Ltd.
|
$299.0
|
|
Provider: Plunkett Research, Ltd.
|
$199.0
|
|
Provider: Plunkett Research, Ltd.
|
$149.0
|
NYSE and AMEX quotes delayed by at least 20 minutes. NASDAQ delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.
UPDATE 1-Countrywide shares plunge, default swaps surge
(Adds details)
NEW YORK Nov 19 (Reuters) - Countrywide Financial Corp.'s CFC.N shares plunged and the cost to insure its debt surged on Monday as concerns about losses by subprime mortgage borrowers sent mortgage-related companies on a new leg lower.
Shares of Countrywide, the largest U.S. mortgage lender, fell more than 12 percent to $10.52, the lowest in five years.
The cost to insure the debt of its home loan unit jumped almost 30 percent to 787 basis points, or $787,000 per year for five years to insure $10 million in debt, according to Markit Intraday.
New credit concerns were raised on Monday after Goldman Sachs analysts downgraded Citigroup (C.N) shares to "sell" from "neutral" and said the bank may have to write off $15 billion over the next two quarters as mortgage losses reduce earnings. For details see [nN19100738].
Major U.S. mortgage financiers Fannie Mae FNM.N and Freddie Mac FRE.N were also under pressure on concerns over risky residential mortgages.
A Credit Suisse research report on Monday said Freddie Mac may report a loss of between $1 billion and $5 billion on its subprime "AAA" portfolio. [nN19270155].
This month Fannie Mae also attributed $670 million in credit loss reserves to charge-offs taken as it purchased troubled loans out of mortgage bond trusts.
Options used to protect against share price falls at Countrywide were also active on Monday.
"Countrywide puts are very active," said William Lefkowitz, options strategist at brokerage firm vFinance Investments in New York. "People are buying puts, anticipating that the downward trend will continue."
(Reporting by Karen Brettell and Doris Frankel; Editing by James Dalgleish)
((karen.brettell@reuters.com; +1 646 223 6274; Reuters Messaging: karen.brettell.reuters.com@reuters.net))
((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit topnews.session.rservices.com
* BridgeStation: view story .134 For more information on Top News: topnews.reuters.com)) Keywords: COUNTRYWIDE SWAPS/ Keywords: COUNTRYWIDE SWAPS/
(C) Reuters 2007. All rights reserved. Republication or redistribution ofReuters content, including by caching, framing or similar means, is expresslyprohibited without the prior written consent of Reuters. Reuters and the Reuterssphere logo are registered trademarks and trademarks of the Reuters group ofcompanies around the world.nN19501831
