(Reuters) - Mortgage-backed securities issued by the two companies and
by Ginnie Mae may get a boost as yields on safer U.S.
government bonds fall to unattractive levels, they said. The
benchmark 10-year Treasury note yield fell by 5 basis points on
Monday to 5.05 percent after a host of subprime loan downgrades
last week chipped away at fragile sentiment.
"If flight-to-quality hits Treasuries and makes Treasuries
lower in yield, then eventually people start scrambling for
spread" as in agency MBS, Alec Crawford, head of MBS strategy
at RBS Greenwich, said on a conference call.
Read more at Reuters.com Bonds News
by Ginnie Mae may get a boost as yields on safer U.S.
government bonds fall to unattractive levels, they said. The
benchmark 10-year Treasury note yield fell by 5 basis points on
Monday to 5.05 percent after a host of subprime loan downgrades
last week chipped away at fragile sentiment.
"If flight-to-quality hits Treasuries and makes Treasuries
lower in yield, then eventually people start scrambling for
spread" as in agency MBS, Alec Crawford, head of MBS strategy
at RBS Greenwich, said on a conference call.
Read more at Reuters.com Bonds News
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