CHARTS_CCI_SYSTEM

[euterpe1]

Gosh, you are putting a lot of words into my mouth.

Here's an email I just received from one of my lenders.

I am trying to post an image, just got an email from a lender stating rates are going up. Why?

"Weak trading levels continue to plague the MBS market, causing rates to move higher"

I don't disagree the economy is not as bad as it was, but I don't agree that's why rates are higher lately. I also agree it helped the economy. I never said it was a bad thing, you put those words in my mouth.

What I am saying is that rates were artificially depressed by the FED's action and the resulting rise in rates has little to do with the economy getting better and is primarily doe to the threat of reduced demand for the 10 year instrument.