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Home » Store » Regulation » A Calm Week (Mostly) for MBS Prices, but Volatility Expected Until It’s Clear Which Way the Fed Is Headed

A Calm Week (Mostly) for MBS Prices, but Volatility Expected Until It’s Clear Which Way the Fed Is Headed

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Bond and MBS prices held steady this week, but market watchers expect that volatility, in general, will persist on pricing until the Federal Open Market Committee meets later in the month to discuss the fate of short-term interest rates. Deutsche Bank, among others, predicts that the FOMC will call for a rate hike then, but it isn’t entirely certain given China’s financial problems. If China continues to crater, the Fed could hold off. Others are predicting...
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