Mortgage rates will rise, home prices will fall and the supply of credit will diminish when the US Federal Reserve and other central banks wind down emergency programmes, a group of global banks warned yesterday.
In a stark prediction for the fallout of the end to the Fed's programme of purchasing mortgage-backed securities (MBS), the Institute of International Fin-ance's Market Monitoring Group cautioned that there would be "considerable repercussions for mortgage rates and home prices".
