1. Economists are skeptical of Fed intervention to lower mortgage rates. 2. Current mortgage rates are historically moderate, around 6.26%. 3. Mizuho warns about risks of another housing market boom. 4. VMBS has a total return of 6.52% this year. 5. Fed's potential reinvestment strategy could impact mortgage spreads.
While forecasted futures show potential mortgage affordability fluctuations, current rates are stable. Historical reluctance by the Fed to artificially lower rates supports a cautious stance.
Market reactions to Fed policies are critical for mortgage-backed investments. Although there's uncertainty, investor sentiment may shift based on government actions.
The short-term focus on economic debate may lead to new policies affecting VMBS's price quickly. However, lasting impacts depend on authority decisions regarding asset management.