Posted To: MBS CommentaryThe question posed in the title is just a bit too big for us to cover in this humble “day ahead” post, but we can touch on a few key points. I just thought it was a good time to revisit it, given that 10yr yields are beginning the day once-again approaching the 3% barrier–something they’ve only done a few times since hitting all-time lows. Following rate movement on a daily basis lends itself to overanalysis. In the biggest of pictures, the rate reality we’re seeing today is largely the byproduct of plans set in motion a year ago. Specifically, the tax bill that materialized last September did more than anything else to precipitate the slow-motion train wreck that we’ve lived through as stakeholders in an industry that’s highly dependent on rates. This is easily seen…(read more)Forward this article via email: Send a copy of this story to someone you know that may want to read it.
Michael Ayoub, Author NMLS ID 6631