Spread income is a very small percentage of total income achieved by NYMT. As NYMT invests in new mortgages with the higher interest rates, their investment portfolio will gradually increase from what it is today.
Day traders, not seen previously here, have descended upon NYMT stock of late. They are adding to its volatility to turn a quick profit. Don't be guided by these moves. Look forward to rising interest rates for mortgages, which the FED has said will begin later thus year. As interest rates rise, so will NYMT's income (with the purchase of new mortgages as old ones mature OR thru secondary public stock offerings, called SPO's). As income rises, so will book value and the stock price. Also, any thoughts of dividend cuts will disappear entirely; instead, dividends will rise because REITs are REQUIRED to pay out at least 90% of increasing net earnings.
For the moment, NYMT is a HOLD and a long term BUY. No thoughts of selling here.
Look at the opening and closing day trading patterns of late. Day traders have descended upon NYMT that were not there before. Day traders add to a stocks volatility (which they need to turn a quick profit).