by Calculated Risk on 4/06/2007 01:11:00 PM

From MarketWatch: American Home Mortgage slashes forecast (hat tip: Bill)

"During March, conditions in the secondary mortgage and mortgage securities markets changed sharply," said Michael Strauss, chairman and chief executive, in a statement. Strauss said the "changes had a significant, adverse impact on our company's first quarter results, reducing our gain on sale revenue and causing mark-to-market losses in our portfolio. While the market may recover, and while we will attempt to restore our gain on sale margins by raising interest rates charged to consumers, our working assumption must be that current market conditions will persist and that our gain on sale margins will not recover through the balance of the year."