Will Operation Twist Work For mREITs?

In a long overdue, yet surprising move, Jim Jordan, chairman of the House Subcommittee on Economic Growth demands answers on Bernanke's exit strategy. Rep. Jim Jordan (R-Ohio) is demanding that Federal Reserve Chairman Ben Bernanke explain exactly how he plans to wind down the Fed's massive portfolio once its run of bond buying comes to an end.

By Todd Johnson:Agency mREITs continue to provide excellent dividend yield returns to investors. The turbulent sovereign euro debt crisis has directly impacted mortgage real estate investment trusts (mREITs). Agency mREITs make money by borrowing funds at short term yield curves and investing in higher yielding government sponsored entity (GSE) mortgage backed securities (MBS). GSE securities are guaranteed by the federal government.

By J.J. McGrath:A half-century ago, the U.S.

By Todd Johnson:I am not different from other investors invested in the agency-mREIT space. When I invest, however, I want to know the worst case scenarios. I own mREITs because I remain confident on select agency-mREITs. If I know the specific industry risks, then I can try and formulate a "worst case" loss-avoidance strategy.

Tim Duy: Don't Dismiss the Communications Value of QE, by Tim Duy: The minutes of the last FOMC meeting indicated that one group of policymakers was getting anxious about the size and pace of QE:

The non-news of the day is Bernanke says scope for more Fed easing Federal Reserve Chairman Ben Bernanke says there’s room for the central bank to take more action in responding to critical questions from a top lawmaker on Capitol Hill.