GMAC, which is the lending arm of General Motors and makes auto, home and commercial real estate loans, will get $6 billion from the Treasury Department. Stocks are rallying today on the news, since it will help the firm continue giving auto loans to car buyers. This follows the $13.4 billion Treasury already agreed to [...]

Watching US auto CEOs in front of Congress asking for money to help them fight competitors who are crushing them is like watching Dirk Diggler in his Boogie Nights downfall. Below is what Dirk says to the recording studio when he can’t pay for his demo tapes to bring to the record company. Is the [...]

Auto Bailout Update The three big domestic automakers are now saying they are working jointly on a new hybrid car. It runs on a combination of state and federal bailout money. Today marks the major automakers’ deadline to submit restructuring plans as part of its $25 billion bailout package.

Treasury has said from the beginning that the TARP funds will follow two primary rules: (1) Treasury needs flexibility to adapt the allocation strategy according to market conditions, and (2) funds would only be allocated to industries or firms whose failure would cause a catastrophic meltdown in global economies.

Fixed and ARM rates for loans up to $729k are even since last week, ending several weeks of .5% price swings. Rates on loans from $729k to $1m are also about even. Rates on loans above $1m are not shown below because that pricing is truly custom based on client profiles.

Rates/Commentary, week of May 16, 2005. Fixed rates are steady over last week and ARMs are down about .125% as mortgage bonds and especially Treasury bonds have rallied. Despite the Fed raising the overnight bank-to-bank lending rate by 2% since last June, the open markets are not following this benchmark rate. Markets trend have driven [...]