Friday, March 23, 2007

Freddie Mac warns on subprime turmoil

By Daniel Pimlott in New York

Published: March 23 2007 12:44 | Last updated: March 23 2007 13:57

Freddie Mac, the US mortgage finance provider, warned that the turmoil in the subprime mortgage market was bound to spill over into consumer debt, as it revealed a loss in its fourth quarter.

Richard Syron, chairman and chief executive of the giant government-chartered group, said that following the massive expansion in the availability of credit for mortgage and borrowing-hungry consumers in recent years, the meltdown of the market for mortgages to people with patchy credit history could spread.

The rest of this article is for FT.com subscribers only

No comments: