The hedge fund manager and former Goldman Sachs partner was addressing concerns about subprime mortgage loans by a bank he formerly ran when the name came up. "The most troubling loan was actually to the Octomom and we worked very, very hard... to move her to another home," Mnuchin said while addressing the practice of offering subprime loans. And here is the moment a Trump cabinet nominee referenced Octomom at his confirmation hearing. In a matter of moments, the moniker "Octomom" became a nationally trending topic on Twitter. The bank in question was OneWest, which Mnuchin formed to purchase what was left of subprime lender Indy Mac from the Federal Deposit Insurance Corporation in 2009 following the country's massive financial crisis, CNN reported last month.
Wall Street plunged at the start of trading Friday after Britain's vote to quit the European Union delivered the biggest blow to the global financial system since the 2008 financial crisis. The Dow Jones Industrial Average was down more than 448 points, or 2 percent, in morning trading, having tumbled more than 500 points in the first 10 minutes of trading. Other major stock indexes plunged, including the broader Standard & Poor's 500 stock index, which slumped 53 points, or 2 percent. The Nasdaq composite, which includes many tech names, tumbled 145 points, or 3 percent. Investors worried about the outlook for the world economy sought refuge in the dollar and other safe-harbor assets such as gold and U.S. Treasury bonds while dumping riskier shares.
Facebook's foray into crypto has made the firm few friends in political circles. The Libra backlash has been so bad that it has painted bitcoin and the rest of the crypto industry in a bad light. This week US senators have ramped up their rhetoric against internet monopoly and its lofty banking ambitions. A high ranking member of the Senate Banking Committee has lashed out at Libra again this week when he compared it to the subprime mortgage crisis that caused the 2008 global recession. According to Yahoo Finance, Senator Sherrod Brown pulled no punches in his opening remarks during the assembly.
Long-term U.S. mortgage rates rose this week, lifting from their 2016 lows but remaining historically low during the spring home-buying season. Mortgage buyer Freddie Mac said Thursday the average 30-year fixed-rate mortgage increased to 3.66 percent from 3.59 percent last week. That brought it close to its level a year ago of 3.68 percent. The average rate on 15-year fixed-rate mortgages advanced to 2.89 percent from 2.85 percent last week. Prices of U.S. government bonds remained at high levels, amid signs that the Federal Reserve won't raise the interest rates it controls in the immediate future.
Average long-term U.S. mortgage rates slid this week to their lowest level since February 2015, luring prospective purchasers during the spring home-buying season. Mortgage buyer Freddie Mac says the average rate on a 30-year, fixed-rate mortgage fell to 3.59 percent from 3.71 percent last week. The benchmark rate was far below the 3.66 percent level it marked a year ago. The average rate on 15-year fixed-rate mortgages declined to 2.88 percent from 2.98 percent last week. A recent speech by Federal Reserve Chair Janet Yellen reaffirmed the Fed's plans to move slowly in raising the interest rates it controls.