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Subprime-Mortgage Defaults to Surge: Report 

Feb 26, 2009By

Moody’s Investors Service announced Thursday that it’s raising its loss expectations for US subprime residential mortgage-backed securities issued between 2005 and 2007, as it believes, without intervention, nearly all already-delinquent loans will eventually default. The company has therefore placed 7,942 tranches of subprime RMBS with an original balance of $680 billion, on review for possible downgrade.

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