Daily Commentary by Larry Baer: The Securities
Industry and Financial Market Association - the governing body for fixed-income
securities like Treasury debt obligations and mortgage-backed securities has
directed that all trading of U.S. dollar-denominated securities end at 12:00
noon ET as Hurricane Sandy bears down on the east coast. Immediately following the announcement there
was a little flurry of "flight-to-quality" buying of agency eligible
mortgage-backed securities but trading volume has now tampered off
dramatically. When the market will
reopen is still undetermined.
The approaching
"Frankenstorm" has already forced U.S.
stock markets to close.
Mortgage investors
shrugged off news earlier this morning indicating personal income and spending
edged higher in September since the personal consumption index component of the
report, the Fed's favorite measure of inflation at the consumer level, posted a
very benign 0.1% gain.
THE
MARKET IS ALWAYS RIGHT! . YOU AND I ARE SOME OF THE TIME
