US banks are having more mortgage loans on their balance-sheets instead of sending them to the government-backed housing organizations for securitization.
Additional loans held by banks could be a symbol of rehabilitated confidence in the housing market, but it could as well reflect greater fees being taken by US housing heavyweights Fannie Mae and Freddie Mac, as well as profit pressures generated by small rates.
Analysts at JPMorgan Chase & Co.(NYSE:JPM) stated that there are symbols that this trend has previouslystarted.Together Wells Fargo & Company(NYSE:WFC) and Citigroup Inc.(NYSE:C) are holding loans at the similar pace that borrowers are paying down their long-standing mortgages, the analysts stated. U.S. Bancorp(NYSE:USB) has been gradually but progressively increasing its total loan balances, they further stated.
Citigroup has been feelingfinancial pains recently, which havetriggered the large bank to shrink operations. As formerly reported by The Inquisitr, Citigroup had formerlydeclared plans to trim 11,000 jobs in order to decrease expenses. This judgment would affect 140 countries, and, at the time, nothing was announced on how many American jobs were to be vanished.
Citibank presentlyintends on shutting 44 bank officesall over America, although precise locations have not yet been called. How many of those workers will be moved to other places is also presentlymysterious.
Piper Jaffrayexpert Terry Sandven has stepped in US Bancorp as its fresh chief equity strategist, a new position the bank has formed as it strengthens its services to the wealthy.
Sandven’sskills in equity management will assist position the bank’s wealth management group as a principal voice on developments in equity markets, the Minneapolis-based lender stated in a news release Wednesday.
Sandven, 54, was at investment bank Piper Jaffray Cos. for above 18 years, most recently as chief of product management. He will work under Tim Leach, chief investment officer of US Bank Wealth Management.