U.S. regulators stymie mortgage lenders again

(Reuters) - Rising foreclosures following five heady years of mortgage
lending prompted regulators to write guidelines they say will
curb risky lending practices and protect consumers. The move
followed last year's clampdown on issuance of "exotic"
mortgages, including interest-only loans.




The Federal Reserve and four other regulators on Friday did
not bend to industry concerns that the guidance on subprime
loans would stifle an industry already in the throes of
crisis.


Read more at Reuters.com Government Filings News

UPDATE 2-Fed nods to easing inflation, but still worried

(Reuters) - WASHINGTON, June 28 - The Federal Reserve on
Thursday held benchmark U.S. interest rates steady and, while
nodding to a recent easing in core inflation, restated that
inflation remained its top concern.




The decision by the central bank's Federal Open Market
Committee keeps the overnight federal funds rate target at 5.25
percent, the level it hit in June last year after 17 straight
quarter-percentage point increases.


Read more at Reuters.com Economic News

European Government Bond Rally May Stall on View Interest Rates Will Rise

(Bloomberg) -- European bonds may drop, snapping
their longest winning run in two months, as expectations the
European Central Bank will lift interest rates outweigh
speculation a weaker U.S. house market will slow global growth.

Yields on 10-year bunds may rise from a three-week low as
investors bet on two more interest-rate increases by the ECB.
Euro-region money supply growth probably held near the fastest in
24 years in May, a Bloomberg survey showed. The Federal Reserve
will probably keep its key rate on hold today citing inflation,
which may halt debt market gains worldwide.


Read more at Bloomberg Bonds News