because I am looking for a deeper dip before earnings.
Good economic news all week and the market was still a downer. With the uncertainty of the election, we will see more of it next week. Not counting a menagerie of puts bought today, I am about 70%cash.
I don't know what to think about WMC. The company only has been trading since 5-2012 so we really only have one 10-K and that really doesn't say too much. It was a partial quarter, a SPO has been done in the 3Q and total assets are only 513M.
I think we will see a book value increase but as JT says it really doesn't create a floor for the stock. They won't have much in the way of appreciated assets to sell (have some) so they will have to make their numbers on the spread.
They are non-agency so QE3 will have less impact. It will be interesting to see just how much, if any impact. Last quarters leverage was at 8.3x, I hope it holds.