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What’s next?



Subprime auto loans, most likely.


Mortgage backed securities couldn't be sold for any price on Friday: https://www.cherrycreekmortgage.com/lous-credit-news


There is a very low amount of subprime mortgage loans. Risk isn't the same as it was during the last recession. Delinquency rate is also trending down.

https://fred.stlouisfed.org/series/DRSFRMACBS


To me, this was very alarming. Shades of 2019 repo crash.


Commercial real estate. A lot of contracts will be up for renewal / renegotiation in the next 6-18 months. Many companies will take the opportunity to downsize their physical footprints due to WFH.




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