It's not rates, it is the spread my friend and not the absolute rate of mortgages. Furthermore about 80% of Annaly is in ARMS and managment understnads how to maneuver in the market pretty much regardless. These guys ar good. theonly one comprable are over at NFI and they have weathered the worse short attacks imaginable last April.
The music wont stop until it pases 21 and then it will be fine anway, it will only stall--and of course if the dividend goes up it can climb higher than 21.