My take is that if AGNC can reverse like it did today (and the rest of the sector mostly traded well off their lows today), then that is good for the sector generally tomorrow and perhaps implies an end to the panic selling. Bonds were up today so I think the panic in the bond market is over for now. We'll have to see the price action today to confirm.
Momentum chasers for just this 1 stock. Yet I see AMTG, IVR, MTGE, NLY are ALL down. If you look at mREIT ETFs (REM, MORT) the sector as a whole is down. This 1 stock don't make the whole sector. So my best guess is momentum chasers. Ppl who follow technicals think they see AGNC forming a corral today. Well, see how high this bounce will go, but the whole sector seems to be dragging down.
Agreed. Why would you pay a premium over BV to hold AGNC when MTGE can be bought at a discount? I would expect MTGE to bounce back tomorrow but it has been a weird week for mreits so who knows. Bought some MTGE today at $23.40 so it would be great to see a pop.
AGNC for 1 month: -8.53%
MTGE for 1 month: -6.78%
I think you're comparing too short a time frame to judge whether it 'makes sense' or not. Shorter time frames are more likely to contain emotions. MTGE's quarter was pretty bad, and AGNC's was even worse. While I'm bullish on both of these, I find the 1-month moves, relative to each other, to make sense.
Hey Warlord! How are you? Are you still trading VIX futures related funds? I have to give you much thanks as I first learned about contango in VIX futures from your posts on the VXX board. I have made back a significant amount of my market losses thanks to the knowledge I acquired from you. Anyways, hope all is well...