Salient to Investors:
Jason Stewart, an analyst at Compass Point Research & Trading Interest rates moving higher and Fed talk about tapering QE much earlier than the market thought have sent mortgage REITs lower.
Michael Widner at Keefe, Bruyette & Woods said the bond markets have over-reacted to Fed comments, and mortgage REITs have over-reacted to the bond market. Widner recommends buying while prices are low, but says the whole episode highlights risks and difficulties in predicting impacts of QE.
Merrill Ross at Wunderlich Securities said the exiting its eight-month domination in the agency mortgage market is not quite as straightforward for the Fed as entering the fray back in September 2012.
Christopher Donat at Sandler O’Neill expects reductions in dividends rather than increases in the next few quarters, and warned of risks of over-reactions and real risks to the stocks because so much of the ownership is made up of retail investors.
Read the full article at http://www.bloomberg.com/news/2013-05-31/armour-biggest-reit-share-loser-as-fed-weighs-exit.html
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Read the full article at
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