31.   Prudential is trying to expand into the banking and mortgage markets and has applied for a license to take deposits.

32.   Rate changes and a renewal in the popularity of adjustable-rate mortgages are not the only recent developments in the mortgage market.

33.   Some of the recent changes in the mortgage market have had widespread effects.

34.   Some analysts say the greater risk to Fannie Mae is a slowing in the mortgage market.

35.   Some investors in the mortgage bond market are counting on stable bond yields to protect their returns in the next few months.

36.   That should make for steady prepayment levels, in turn making it easier for investors to reap profits in the mortgage market.

37.   That, in turn, would affect the long-term mortgage market.

38.   The Ahmanson deal makes Washington Mutual an even bigger presence in the mortgage market, which has some drawbacks.

39.   The company can protect against shifts in the mortgage market by diversifying its investment portfolio.

40.   The driving force, he said, is the securitizing of the commercial mortgage market.