Posted To: MBS Commentary
The longer the post-election trade plays out (in 3 months, it will have been a year!), the flatter it looks. There have essentially been two similar sideways ranges in 10yr yields, punctuated by an "adjustment" that accounted for a slightly more dovish tone from the Fed in March. The first range was roughly 2.3 to 2.6 during the first 4.5 months of the post-election trade. The subsequent 4 months held within a similarly narrow range of 2.12-2.42. With yields at 2.24 this morning, we're essentially in the middle of the current range. Newsflash ! Markets only stay this flat for this long amid rampant uncertainty. Politics, Geopolitics, Fed tightening, ECB talking about tightening, BOJ never again tightening, various Trump staff headlines, stock surge, stock sell-off fear, lack of...(read more)Forward this article via email: Send a copy of this story to someone you know that may want to read it.
from Mortgage News Daily http://ift.tt/2wa3s0m
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