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US mortgage rates rose again last week, reaching the highest level since mid-February and further depressing the appetite to buy homes or refinance loans.The contract rate on a 30-year mortgage climbed 9 basis points to 6.90% in the week ended April 18, according to Mortgage Bankers Association data released Wednesday. That followed a 20 basis-point jump in the prior week, marking the biggest back-to-back increase since early November. Mortgage rates track US Treasury yields, which have risen recently as they lose their appeal as a safe haven. The Trump administration's tariffs and threats to fire Federal Reserve Chair Jerome Powell are causing a reappraisal of US assets and damaging investor confidence in the central bank's independence.MBA's index applications for home purchases fell for a second week to the lowest level also since February. The refinancing gauge plunged 20%, the most this year.Data on March new-home sales will be released later Wednesday, while figures on the previously owned homes market are due Thursday.The MBA survey, which has been conducted weekly since 1990, uses responses from mortgage bankers, commercial banks and thrifts. The data cover more than 75% of all retail residential mortgage applications in the US.

Frank Gargano A federal judge has ordered a top staffer to Elon Musk and the chief legal officer at the Consumer Financial Protection Bureau to explain mass firings at the CFPB that appear to be in defiance of a court order.U.S. District Court Judge Amy Berman Jackson on Monday ordered Mark Paoletta, the CFPB's chief legal officer, and Gavin Kliger, a staff member at the Department of Government Efficiency who is on a detail to the CFPB, to testify about reductions in force notices that were sent to 90% of the CFPB's staff last week. On Friday, Jackson temporarily blocked the Trump administration from firing the employees and scheduled an evidentiary hearing on April 28 to determine whether the firings comply with an existing injunction. The employees who received the RIF notices have been placed on administrative leave pending the outcome of the litigation.  A union representative said the employees are "shell shocked." In the past week alone, the Trump administration has fired 1,250 employees at the Federal Deposit Insurance Corp.; fired the two Democratic members of the three-member board of the National Credit Union Administration (leaving only a Republican appointee in place); and threatened to fire Federal Reserve Chair Jerome Powell. The Trump administration and the CFPB's union have been locked in contentious litigation since February when the National Treasury Employees Union union sued acting CFPB Director Russell Vought to stop the agency from being dismantled. The latest court orders could create a conflict. "This is a real test of executive power," said Scott Pearson, a partner at the law firm Manatt, Phelps & Phillips LLP. "The administration is trying to take on the bureaucracy dramatically — not just at the CFPB, but across the entire government."Many legal experts, including Pearson, have noted that the Trump administration is also seeking to overturn a nearly century-old precedent — Humphrey's Executor v. United States — that holds that independent agency appointees can only be fired for cause. Some experts suggest the CFPB could have conducted mass layoffs legally by adhering to the union's collective bargaining agreement and notifying employees at least 90 days in advance that an RIF was being considered. Unlike other agencies, the CFPB has not offered early retirement and severance to foster attrition and lessen the blow of a substantial reduction in force, a union representative said. The mass layoffs on Friday mark the third round of firings at the CFPB. In March, acting CFPB Director Russell Vought first fired temporary and then fired term employees, but was forced to rehire them again under a court order. The key issue before the U.S. District Court for the District of Columbia is whether the administration has the discretion to reduce the CFPB's headcount to roughly 200 employees, and if doing so adheres to the specific statutory requirements of the Dodd-Frank Act. On Friday, Paoletta submitted a declaration with the court stating that the bureau's new leadership had undertaken a review of the CFPB's activities and staffing, in compliance with an appeals court panel, before sending RIF notices to 1,483 employees. The appeals panel had issued a partial stay of a preliminary injunction that prohibited the agency from issuing RIFs. The judges allowed the CFPB to terminate individual employees and issue stop-work orders, but only after conducting a "particularized assessment" of whether the workers are "unnecessary" to perform the bureau's legally mandated duties. Paoletta claimed the assessment took place. Jackson did not appear confident that his assessment met the standard set forth by the appeals court, experts said. For example, the CFPB's enforcement division would be reduced to a staff of 50, down from 248. Supervision would drop from 487 employees to 50. And the Consumer Response unit would retain just 16 employees, down from 128.Last week, Paoletta sent a sweeping memo to the bureau's staff stating that the bureau will no longer supervise nonbanks, and will have most enforcement and supervision conducted by the states. Lawyers are questioning how the CFPB plans to rescind and reissue rules if the CFPB's regulations unit has just 10 employees, down from 66 currently. "The decision to stop supervision of and enforcement against nonbank lenders has opened the door for abuses just as, 20 years ago, Congress, bank regulators and the Fed's refusal to regulatory predatory lenders spawned a worldwide financial crisis," said Kathleen C. Engel, a research professor at Suffolk University Law School.Paoletta wrote that the Trump administration has "a much more limited vision for enforcement and supervision activities.""Over the course of this review, leadership has determined to take the Bureau in a new direction that would perform statutory duties, better align with Administration policy, and right-size the Bureau," he wrote. Adding to the mix is an anonymous CFPB employee referred to in the litigation as Alex Doe, who claimed that DOGE employee Kliger kept a CFPB team up for 36 hours to ensure that the firing notices went out on April 17. The sworn declaration states: "Gavin was screaming at people he did not believe were working fast enough to ensure they could go out on this compressed timeline, calling them incompetent."It is unclear if the Trump administration will describe the layoffs as part of the normal changeover in administrations, as they have in the past, or how the court will determine what work is legally required. "Now you've got courts coming in in response to lawsuits and, arguably, micromanaging what the executive is permitted to do," said Pearson. "There are real constitutional questions about to what extent when Congress says there needs to be an Office of Consumer Response, what does the Office of Consumer Response needs to do and how well do they need to do it?"Since Jan. 20, the Trump administration has been sued 203 times, which includes four closed cases, according to litigation tracking site Just Security.

Is it too soon to be talking about the end of the trade war?Perhaps, but there have been rumblings of a closed-door meeting to get a deal done, along with a softer stance from President Trump.The man who tends to get bond yields to calm down, Treasury Secretary Scott Bessent, was a speaker at said meeting.He reportedly called the current situation unsustainable with the two largest trade partners effectively frozen thanks to heavy reciprocal tariffs.So if/when some sort of resolution springs up, could it get mortgage rates back on their downward trajectory?The Current Trade War Is UnsustainableDuring the private investor summit that took place in Washington D.C., which happened to be hosted by none other than JPMorgan Chase, Bessent expressed that the current impasse between the U.S. and China wasn’t viable long term.And added that a de-escalation was expected in the “very near future.”After all, China’s largest trading partner is the United States. And by a wide margin.Whereas our largest trading partners are Canada and Mexico, which we made deals with after initially threatening larger tariffs, followed by China.So clearly there’s a lot at stake and an ongoing trade war would likely lead to a lot of unintended consequences neither side may actually want.There’s also the thought that dialing things back after going further might be just the right amount of tariffs to appease both parties.A sort of Goldilocks level of tariffs might work, allowing both countries to feel as if they have won, or at least not lost.And that could prevent bigger problems, such as China selling its Treasuries and MBS, which could further increase bond yields and mortgage rates.Many also expect tariffs to be inflationary and simply passed onto consumers, at a time when inflation finally seems to be under control.Simply put, if the pair can find a solution, we can put this behind us and get back on track.If you recall, things weren’t so bad a few months ago, and many are now wishing we could just put the past couple months behind us and move on.Will It Really Be That Simple Though?If I’ve learned anything from this ongoing trade war, it’s that not all is what it seems. One day President Trump is talking about firing Fed Chair Jerome Powell.And the next day he says he’d never do such a thing. Oh, and last week he mentioned that Chinese tariffs would “come down substantially.”“I think that we will make a deal with China,” Trump told reporters at the Oval Office. Though he added “I think we have plenty of time.”Huh? But I thought it was pedal to the metal on tariffs and Jerome’s got to go?I guess that was yesterday and last week, and Tuesday is a different ballgame. Does make you wonder what Wednesday will bring though, eh?That’s kind of the point I’m trying to make here. It would be pretty naïve to think this is it, the trade war’s over.No way. There’s definitely going to be another twist in this tale. Heck, I wouldn’t be surprised if Trump threatens Powell’s job again. Or if tariffs on China go even higher, somehow.It is this very uncertainty that has led to so much volatility in the markets, whether it’s stocks or bonds.The stock market has gotten pummeled and mortgage rates, very recently trending down to the low 6s, are back to basically 7%.And they’re there at the worst possible time, the spring home buying season. Not great with inventory beginning to pile up as affordability remains out of reach for many.I Still Expect Lower Mortgage Rates in the Third Quarter and OnwardWhile it’s next to impossible to know what’s next in this trade war saga, chances are it’ll go on a bit longer.As Trump said, there’s still time and apparently no rush to make a deal. But the more important piece is that a deal will come.So it might be best to just zoom out and ignore all the short-term noise while this evolves (and devolves) and hopefully gets better again.How long might that take? Well, perhaps we should just throw out the second quarter, which ends on June 30th.Just be patient and wait for a resolution. Of course, prospective home buyers can’t just sit around and wait if they happen to find a property they like.They might have to settle for a higher mortgage rate. The same goes for existing homeowners looking for rate relief from a rate and term refinance. Might have to hold out a little longer.But I do still think relief is coming in the second half of the year. And that would align with my 2025 mortgage rate prediction, which has the 30-year rising in the second quarter before falling in Q3 and Q4.In fact, I have the 30-year dropping to 6.25% in the third quarter, then to 5.875% by the fourth quarter.It just might be (probably will be) choppy along the way. And while I’m hopeful my prediction comes true, we can’t rule anything out with this administration.Things might get worse before they get better. Before creating this site, I worked as an account executive for a wholesale mortgage lender in Los Angeles. My hands-on experience in the early 2000s inspired me to begin writing about mortgages 19 years ago to help prospective (and existing) home buyers better navigate the home loan process. Follow me on X for hot takes.Latest posts by Colin Robertson (see all)

Pennymac reported steady origination volume to begin the year but its profits took a hit with yet another negative one-time charge. The correspondent giant reported Tuesday $76.3 million net income in the first quarter and diluted earnings per share of $1.42. Those numbers were down from Standard & Poor's Capital IQ consensus estimates of $139 million net income and $2.64 diluted EPS, respectively. The earnings were marred by a $98.7 million negative charge stemming from a mortgage servicing rights fair-value decline of $205.5 million, offset by $106.8 million in hedging gains, the company reported. In the fourth quarter, Pennymac reported net income of $104.5 million; its profit was a slimmer $39.3 million in the first quarter of 2024. Chairman and CEO David Spector in an earnings call Tuesday afternoon touted Pennymac's gains in wholesale originations and a growing recapture rate. Responding to an investor question, Spector said the company's correspondent and servicing prowess would be undeterred in a landscape altered by the major Rocket Cos. acquisition of Mr. Cooper. "We don't have any distractions here at the company," he said. "I don't know if others in the industry can say the same thing. We're going to continue to be the number one correspondent aggregator and we're going to continue our dominance there."Pennymac reported $22.1 billion in correspondent lock volume in the first quarter, a step back from the end of 2024 but ahead of the $17.1 billion at the beginning of last year. It laid claim to an industry-leading 19.4% market share and 787 correspondent sellers in the first quarter.The Southern California-based lender also reported $5.5 in broker-direct locks, and a slight gain in market share to 4.3%. The company had a roster of 4,853 approved brokers. Its consumer direct volume also trickled up to $3.9 billion, marking a 77% increase from the year ago period. The company recorded increased recapture rates for both government and conventional loans in the first quarter compared to the entirety of 2024. Including closed-end second liens, Pennymac is recapturing 66% of its government-backed loan borrowers and 42% of its conventional borrowers, according to Tuesday's report. "Most of the loans are coming from rate-and-term (transactions)," said Spector. "It just speaks to the lead gen technology and processes that we've put in place to give us better capability to categorize the mark-to-market, the end-of-money customers to be able to recapture the loans."The CEO spoke at length about Pennymac's technology upgrades, including an around-the-clock customer chat that saved the firm 45,000 hours a year, or $2 million. Another servicing documentation automation process is saving the company an additional 130,000 hours, or another $2 million a year.For the first quarter, Pennymac reported $61.9 million in pretax production income, a 20% quarterly decrease but 27% annual gain. Servicing income of $76 million was also down from the fourth quarter's $87.3 million mark, but significantly up from $23.7 million the same time a year ago. Pennymac in February also issued $850 million of 8-year unsecured senior notes due in 2033; it has $650 million in bonds due this October. The company counts total liquidity including cash and amounts available to draw of $4 billion. Spector also briefly opined on the Trump administration's changes to the Federal Housing Administration's loss mitigation waterfall. What Pennymac will lose in loss modification income, it'll more than make up for in early buyout activity, the CEO said. "I believe it'll improve redefault rates as well as wring out the bad actors in the industry," he said.

Fannie Mae and Freddie Mac are not likely to be released in the next four years, a former executive at one of the government-sponsored enterprises said. While it is still too early to truly know how events will unfold, former Freddie CEO Don Layton, thinks the Trump administration "will take a lot of steps to move the ball down the court, but that's as far as they'll get in the next four years." Getting their ducks in a row by mending their preferred stock purchase agreements (PSPAs) and figuring out the amount of capital needed to go private could take up to six years, Layton said speaking at Harvard University's Joint Center for Housing Studies. "The new administration made no commitment that it would be quick," he noted. "In fact, they said the opposite. That's because no one wants to screw up the mortgage system where all of a sudden mortgage [interest rates] rise to 9%."This runs counter to mainstream predictions from stakeholders that the two entities would be re-privatized within the next to three years, through a number of potential mechanisms.Hedge fund billionaire Bill Ackman, an active Trump supporter, has vocally expressed his belief that the exit would take place in the near-term.What privatization of Fannie Mae and Freddie Mac could look likeAckman has posited that if the government agrees to retire Fannie and Freddie's senior preferred stock and the capital ratio of the enterprises is reduced to 2.5%, the housing entities would need about $30 billion in combined capital to stage an initial public offering in 2026.Even if the government-sponsored enterprises are released from conservatorship, the Federal Housing Finance Agency will continue to maintain strict oversight, former Freddie Mac President Don Layton said. That oversight is necessary, he added, because privatizing Fannie Mae and Freddie Mac would likely give the entities more flexibility to loosen credit standards."The concern might be they would get too frisky and be too loose [with credit requirements] and that's why you have a regulator," he said. "I would expect the FHFA to be able to do its job and make sure the GSEs don't get too frisky on credit." Looser credit standards could push privatized Fannie Mae and Freddie Mac into the non-QM market, some have predicted.Whatever the outcome could be, Layton thinks that there is a high chance that borrowers will to some degree feel the brunt of Fannie and Freddie being released into the wild. "Will mortgage rates be higher or lower? That depends on where inflation and Federal Reserve policy is," he said. "How can GSEs impact mortgage rates? If their release is messed up, rates could go up 10,15, 20 basis points." 

Moody's Corp., a company that grades bonds and analyzes corporations' financial performance, said it expects to earn less this year than it had previously forecast, as tariff wars create tumult in markets, cutting into debt sales and acquisitions. The ratings and analytics company said it now expects to earn between $13.25 and $14 a share this year, excluding the impact of items like restructuring. In mid-February, its forecast for adjusted earnings per share was between $14 and $14.50. READ MORE: How Trump's wild tariff ride has changed mortgagesThe results underscore how trade wars that US President Donald Trump has escalated, including a series of higher tariffs he announced on April 2, are filtering through to markets and the economy. Moody's said it now expects global economic growth this year to be about a percentage point slower than its previous forecast. "We do believe many businesses are being impacted by the uncertainty of impending trade tensions and this uncertainty in turn leads to customers delaying financing and investment," Rob Fauber, Moody's chief executive officer, said on a call with analysts Tuesday.Shares of the company rose as much as 3.9% Tuesday, after the lowered guidance was better than some feared.The bond grader now expects total sales for bonds that it grades to decline this year, compared with prior expectations for slight gains. That includes a drop in junk bond sales and roughly no growth in investment-grade corporate notes. Bond markets have experienced more zero-deal-days than usual, making it harder for companies to time their bond sales."Last year, it was basically blue sky days the entire year," Fauber said. "We're in much more of a headline-driven environment at the moment."Moody's now forecasts corporate acquisitions this year, which are often funded by debt and drive overall bond sales, to grow by 15%, compared with the 50% it had previously anticipated. The firm also cut its free cash flow outlook, forecasting as much as $2.5 billion, down from prior outlook for up to $2.6 billion.For the first quarter, Moody's posted record revenue that topped estimates, with an 8% bump over the year-prior period. Earnings of $3.83 per share also beat the average of 24 analysts' estimates for $3.52.Trump's tariffs have weighed on debt markets, but US high-grade bond sales have remained resilient even as equities sold off. Investment-grade debt issuance totaled around $530 billion in the first quarter, only about 1% below the same period last year, Bloomberg compiled-data show.That relative steadiness benefited Moody's as its corporate finance revenue topped estimates and rose 6.6% year over year. Revenue from structured finance, helped by refinancing activity in collateralized loan obligations and commercial mortgage-backed securities, rose 21% from the first quarter of last year.Private credit has also emerged as a "meaningful contributor" to growth, Fauber said. The evolution of capital markets, including private credit, and the automation of financial services businesses are among the factors that Moody's expects to drive demand for its products longer-term. The analytics division said on Monday it will expand its private credit data offerings with a partnership with indexing giant MSCI Inc. that will provide investors with risk assessments on private credit loans. 

Adobe Stock MidFlorida Credit Union announced Tuesday it has struck a deal to buy Prime Meridian Bank, marking the credit union's third bank acquisition in five years.The purchase of Tallahassee-based Prime Meridian and its holding company, slated to close in 2026, will expand MidFlorida's footprint in the state's panhandle. The deal requires regulatory and shareholder approval, and it faces the ongoing bank industry pushback against such marriages.MidFlorida CEO Steve Mosely said the move is designed to expand the Lakeland, Florida-based company's consumer and business banking services in the panhandle region."As Florida's community credit union we are already serving the panhandle in a lending capacity with mortgage, auto and commercial business loans," Moseley said in a prepared statement. The addition of Prime Meridian will create a $9.5 billion-asset institution with more than 1,500 employees and 66 branches, the companies said. Financial terms of the deal weren't announced.Sammie Dixon, Prime Meridian's president and CEO, said in a prepared statement Tuesday that all of the $975 million-asset company's employees will be retained by MidFlorida, and "the expanded resources available to our clients are huge.""We recognized the strength in being able to adapt to change," Dixon said. "It is fitting we now find ourselves in a position to bring physical locations to MidFlorida's operations."Chris David, chief operations officer at MidFlorida, said that the two companies believe that branches, "coupled with" digital operations, are still an important part of banking. The merger agreement was unanimously approved by each of the companies' board of directors. Prime Meridian shareholders will receive $58.50 for each share owned once the deal closes.Despite a record announcement of 22 bank-credit union deals in 2024, getting such transactions over the finish line has proven somewhat complicated. Many transactions have faced extended regulatory reviews and scrutiny from banking groups, which argue that credit unions' tax-exempt status is an unfair advantage.On Tuesday, in the face of the MidFlorida-Prime Meridian deal, the Independent Community Bankers of America again called for policymaker action to curb the purchase of banks by credit unions. The ICBA specifically pointed to the federal tax exemption for credit unions with more than $1 billion in assets as an area ripe for reform."These institutions have outstripped their public mission and tax-exempt purpose and are now leveraging their tax exemption to purchase tax-paying community banks," said ICBA CEO Rebeca Romero Rainey in a letter to Congress earlier this year. "The pace of these acquisitions in recent years is driving the consolidation of financial services across all markets, to the harm of consumers and small businesses."The Florida institutions' combination marks the fifth credit-union-bank deal announcement this year, according to American Banker's tally.Earlier this month, Marion and Polk Schools Credit Union in Oregon announced plans to buy Lewis & Clark Bank. In March, NuMark Credit Union in Illinois said it would buy Lemont National Bank, near Chicago, in an all-cash deal, and Legacy Federal Credit Union in Alabama said it had agreed to purchase First National Bank of Cullman. Back in January, Frontwave Credit Union in suburban San Diego agreed to buy Community Valley Bank.

Nearly 75% of Americans say homeownership is now out of reach for the average person but when it comes to who's responsible, opinions are deeply divided along generational lines.According to a new survey by Clever Real Estate, millennials were most often blamed for the housing crisis (31%), followed closely by baby boomers (27%). Those two generational buckets put the blame on each other; 35% of millennials selected boomers as the cause, with just 21% picking their own generation.At the same time 33% of baby boomers cited millennials, with 25% picking their own demographic."Altogether, it's discouraging evidence that different generations can't even agree on how we got into the current housing trouble, much less the proper solutions," the report blog from Nick Pisano, a data writer at Clever, said.Which generation is to blame for the housing crisis?When it comes to the actual causes for the lack of affordable houses, more than 85% of boomers, Gen Xers and millennials cited three reasons: inflation, high interest rates and high property taxes.But 83% of boomers said supply and demand factors are responsible, compared with 74% of Gen X and 68% of millennials.State governments got the largest share of blame from millennials, at 70%, versus 57% of baby boomers.Surprisingly, 30% of all respondents pointed to millennials as the main culprits behind the housing inventory shortage, compared to just 24% who blamed baby boomers.This runs counter to the common narrative that baby boomers aging in place are a major factor limiting available housing. Still, the generational finger-pointing continues, with each group largely holding the other responsible.The survey respondents largely felt Gen Z is the most entitled demographic when it comes to their homeownership expectations, at 31%, with baby boomers next at 28%."This goes hand in hand with the 57% of respondents who say Gen Z is the most unrealistic about what they deserve in a home," the report said.The survey asked participants to rank life milestones by importance from most to least, and owning a home topped the list, ahead of a job they like, a comfortable retirement and at No. 4, being married or having a life partner.Are couples asking for down payment help instead of wedding gifts?Homeownership's importance as milestone plays into the results of a separate survey from LendingTree of homeowners who were married in the past two years.Nearly half of the respondents, 48%, requested wedding invitees gift them money to help for a down payment rather than a physical item. Among those newlywed homeowners, 71% said they received help from their parents for the down payment and/or wedding expenses."Wedding gifts used to be dinnerware, silverware, candlesticks and other things that would sit in a box or cabinet and maybe get used once a year," said Matt Shulz, LendingTree chief consumer finance analyst, in the report. "Now, there's less stigma in asking for money toward a down payment or a honeymoon."This is good for both the newlyweds and for those giving the gift because as they know their gifts won't become dust collectors, he added.Does getting married delay buying a home?The wedding delayed the home purchase plans of 35% of respondents to the LendingTree survey, while the cost meant putting less money down than planned for 36% of those surveyed.Thirty-eight percent of millennials said getting married delayed their home buying activity, while it was true for 37% of Gen Z and 32% of Gen X.On the other hand, 52% of all respondents said they downsized their wedding so they could buy a bigger home. For just under six-in-10, they put more money down than they spent on their wedding.When it came to what caused the most stress on their relationship, the results were rather even: 36% said it was buying a home, 33% cited wedding planning and 31% stated both were equally nerve-wracking.How many home buyers can afford a down payment right now?In the Clever report, 71% of respondents admitted they could not put down any money right now on a potential home purchase."Ironically, it seems the best way to come up with a significant down payment is to already be a homeowner," Clever said. "Although 25% of all respondents could put down $75,000 or more for a purchase, this includes just 7% of boomer renters, 6% of Gen X renters, and essentially no millennials renters at all (0%). "What down payment assistance programs are available in 2025?For those looking for down payment help, the number of homebuyer assistance programs increased by 43 during the first quarter and by 55 over March 31, 2024.The total number of programs now available is 2,509, the Down Payment Resource Q1 2025 Homeownership Program Index reported.A recipient does not have to be a first-time buyer in 952 of the programs, while 240 do not have income restrictions."Rates are still high and prices keep climbing, but we're seeing expanded program offerings, new providers and greater flexibility in how funds are used — not just for down payments but also to cover closing costs, lower the rate or meet other buyer needs," said Rob Chrane, CEO of Down Payment Resource, in a press release. "More programs now include manufactured and multi-family homes, opening new paths to affordability and steady income."Do millennials feel discriminated against by lenders?Almost six-in-10 millennial respondents to the Clever survey said mortgage lenders have more respect for older generations. Just 43% of baby boomers and 42% of Gen X agreed with that statement.When asked if older generations get better rates and/or service from their mortgage originator, 47% of millennials agreed, versus 36% of Gen Xers and 31% of boomers.The gap also exists on the sales side, with 42% of millennials believing the real estate agent prioritizes older clients, compared with 30% of Gen X and 24% of baby boomers.When it comes to feeling discriminated against, 30% of millennials said it was true, versus 20% of Gen X and 10% of boomers.

The Supreme Court has declined to certify a petition for a writ of certiorari from a Florida resident that could have had implications for a landmark decision involving consumer rights in a Minnesota tax-debt foreclosure.Robert Turner's petition asking for a review of an 11th Circuit Court decision in his case could have had implications for interpretations of the earlier Minnesota lawsuit, Tyler v. Hennepin County, according to Bloomberg Law, which was the first to report on the development.Geraldine Tyler had successfully argued Minnesota violated the U.S. Constitution by engaging in "home equity theft" and not returning surplus funds when the state foreclosed on her property. Turner's petition asked the court to review what he alleged was the "impermissibly low" sale of his homestead property on constitutional grounds, according to court documents on Justia.Why tax foreclosure procedures are an issue to watchWhile the Supreme Court rarely responds to requests for review, if it had done so the move could have had implications for how mortgage servicers and states respond to tax foreclosures at a time when the average homeowner's assessment is rising. States have had varying rules when it comes to what happens to surplus funds in property tax foreclosures, and some have engaged in legislative adjustments in response to Tyler v. Hennepin County. While Turner's petition for a writ of certiorari was denied, there still is potential for the Supreme Court to review its Tyler v. Hennepin County decision in other contexts, said John Rao, senior attorney at the National Consumer Law Center"There are some state tax foreclosure procedures that raise constitutional concerns even if they appear to comply with Tyler by allowing for the recovery of surplus proceeds," Rao said in an email. A case to watch in that context is Beeman v. Muskegon County, according to Rao."The Beeman case challenges Michigan's incredibly burdensome process for claiming surplus proceeds that was enacted after Tyler," he said. "The Court asked the county to respond to the petition for cert, which suggests there might be some interest in the case at least for some of the justices."

President Donald Trump's threats to fire Federal Reserve Chair Jerome Powell have had a significant impact on financial markets, Goldman Sachs Chief Economist Jan Hatzius said."We have seen significant tightening in financial conditions, with increases in bond yields and declines in equity prices, and also weakness in the dollar," Hatzius said Tuesday on Bloomberg TV. "But net-net, it has tightened our financial conditions index whenever that has come up, and so I think that gives you sort of a foretaste of what would happen if we really did go down this road."US stocks fell Monday and yields on longer-term Treasury securities rose after Trump took to social media to criticize Powell, calling the Fed chair a "major loser" and warning the economy would slow unless the central bank starts cutting interest rates.The president's attacks have kept investors on edge in recent days amid reports that the White House is studying the legality of removing Powell from his post before his term expires in 2026.Hatzius said although Trump can shape the central bank's Board of Governors through appointments, the delegation of rate-setting authority to a broader committee, which includes members not appointed by the president, offers some insulation against political pressure."It is an institution that has quite a lot of institutional stability, even in an environment where the president gets to appoint a new chair and new governors," Hatzius said. "So I think there are some significant safeguards built into the system."