Mortgage bonds are in rally mode today on softer inflation numbers.

Since the middle of September, the stock market has only had a few days where the market moved less than 100 points.  We’ve seen record movement both up and down.

Mortgage bonds have been equally volatile.  We’ve had a brutal run of late.  [...]

The first signs of a recession, formally, appeared today.  The preliminary reports for GDP show spending declined at a rate of 3.1%.  This is a new low since the end of the last recession in 2001.

As expected, the Fed lowered the Fed Funds Rate to 1.0% from 1.5%.  The market barely moved at first; [...]

It’s another Fed Day.  All eyes on the Policy Statement that will accompany the Rate Decision.

The experts are predicting a .50% cut to the Fed Funds Rate.  This would bring is to June 2003 levels of 1%.  That is not a typo…that is “one percent.”

Lines of Credit at the WSJ Prime Rate would [...]

Today was another volatile day that saw mortgage bonds trade in a 100bps range before closing down 53bps.

Margin calls are causing hedge funds and other investors to dump securities in a bad market.  A complicated, but large market of the “Yen Carry Trade” unwound again today.  Essentially, they are buying Yen to pay back [...]

Total and complete global chaos let loose — here’s the quick version:

The earth keeps spinning even after we go to bed and, evidently, wherever the sun has been, they’ve been trading stocks.  This hasn’t been going so well. Japan stocks tumble on Sony and Samsung earnings reports.  The UK shrank for the first time [...]