Furthermore, the U.S. stock market, which has been in an adjustment phase for the past few weeks, remains firm from a longer-  BIS central bankers’ speeches  1  term perspective. In this environment, private consumption and business fixed investment are unlikely to deteriorate to any serious extent. In short, we should be aware of the downside risks without being unduly pessimistic.
By the 1990s, increased reliance on securitization led to a greater separation between mortgage lending and mortgage investing even as the mortgage and capital markets became more closely integrated. About 56 percent of the home mortgage market is now securitized, compared with only 10 percent in 1980 and less than 1 percent in 1970.