Wachovia unit halts Alt-A home loans

(Reuters) - Wachovia stopped making Alt-A loans through all brokers on Thursday, the spokesman said. Wells Fargo & Co. has said it is also curtailing such loans.



Alt-A loans, short for "Alternative-A," fall between prime and subprime in quality. Investors have shied away from the loans on concern about rising defaults, and that credit issues affecting riskier "subprime" loans would spread to higher-quality loans.


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UPDATE 1-U.S. home builder index lowest since Feb 1991 - NAHB

(Reuters) - The NAHB/Wells Fargo Housing Market index fell two points to 28 in June, the lowest since it hit 27 in February of 1991, the group said.




Economists had predicted the index would be unchanged from May's 30 reading, based on a Reuters survey. Readings below 50 mean more builders view market conditions as poor rather than favorable.


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