by Calculated Risk on 5/22/2008 04:48:00 PM

From Bloomberg: S&P Cuts, Reviews $6 Billion of Prime-Jumbo Mortgage Bonds (no link yet)

Standard & Poor's cut or threatened to cut the ratings on almost $6 billion of securities backed by prime ``jumbo'' mortgages ...

Ratings on 125 classes of [prime-jumbo] bonds created in the first half of 2007 ... were downgraded ... Ratings on 156 classes were put under review. ... Ninety percent of the securities put under review are AAA rated ...

Late payments of at least 90 days and defaults among prime-jumbo loans underlying bonds issued last year rose to 1.16 percent as of April bond reports, up 180 percent since December, S&P said.

This is more evidence that the credit problems have moved up the chain. See: Fed: Delinquency Rates Rose Sharply in Q1. Also the Q1 Mortgage Bankers Association (MBA) delinquency report will be released soon - and I expect that report to show accelerating delinquencies in Alt-A and prime loans.