MBS Day Ahead: Pondering Paradoxical Effects as Markets Circle Wagons For Fed Week

Hot news from AZ Home Help:

Posted To: MBS Commentary

Everyone knows the Fed is considering hiking its target rate for the first time in 9 years , bringing it up from all-time lows for the first time in 6 years, and that it could happen some time soon. But no one can really know what that will ultimately mean for markets--especially the markets they're most interested in (which, if you're reading this, probably at least includes mortgages and/or longer term interest rates). The anxiety-inducing news is that markets have definitely begun circling the proverbial wagons for next week's potential Fed hike. Even before China's currency drama sent shockwaves through markets 2 weeks ago, Treasuries were already trading in the fateful "expanding cone of volatility" pattern. But since then, both stocks and bonds have clearly been...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

Source: http://www.mortgagenewsdaily.com/mortgage_rates/blog/510961.aspx

- For more real estate news visit our website at http://www.AzHomeHelp.com