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03.02.2011 01:10

US OUTLOOK: RBC, commenting on Fed's Sr Loan Officer survey, says it showed 5.2% of banks tightened lending standards on mortgages in 1Q and that is bad news for housing.

Consumers also were weak: "demand for mortgages fell for a net 20% of banks, taking our rolling sum for this metric to a new record low.' One reason for caution is 8m homes in default or foreclosure, RBC says.

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