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Mortgage REITs take out new lows post-jobs report

  • Sharply higher interest rates has a number of mREITs (REM -2.4%) hitting new 52-week lows. Most of the stocks were already on the defensive over the past few sessions following near-universally disappointing Q3 results.
  • Annaly (NLY -3.3%), American Capital (AGNC -2.9%), (MTGE -2.5%), Armour (ARR -3.7%), Invesco (IVR -3%), CYS Investments (CYS -5.3%), Hatteras (HTS -3%).
  • Other related ETFs: MORT, MORL.
  • Earlier: Big beat on jobs number sends Treasury prices south.
Comments (7)
  • hummerh25
    , contributor
    Comments (99) | Send Message
     
    Look for the $3.50 to $3.75 range. Dividend is not helping.
    8 Nov 2013, 10:50 AM Reply Like
  • Cavalaw
    , contributor
    Comments (123) | Send Message
     
    hummerh25

     

    What Reit are you referring to?
    8 Nov 2013, 11:51 AM Reply Like
  • fayrweather
    , contributor
    Comments (74) | Send Message
     
    so…… .rates go up, less people buy homes, more people rent….. I'm not tracking on how higher rates damage REITs. Buy on price drops is what I'm saying, especially MORL.
    8 Nov 2013, 12:06 PM Reply Like
  • stevewojo
    , contributor
    Comments (187) | Send Message
     
    Interest rates and bond value move in opposite ditections, therefore, rates up, bond value down, BV down, stock price down.
    8 Nov 2013, 01:22 PM Reply Like
  • William Packer
    , contributor
    Comments (418) | Send Message
     
    yeah but AGNC's 15 yr paper isn't down much at all.. look at 3.5 15.. only down 7 ticks.. AGNC got this one right going away from the 30 yr.. 30 yr is getting blown up. They should have gone 100% 15 yr paper.
    8 Nov 2013, 02:06 PM Reply Like
  • stockbeater
    , contributor
    Comments (55) | Send Message
     
    90% of profits must be paid out or Reits must pay taxes.
    8 Nov 2013, 02:58 PM Reply Like
  • hummerh25
    , contributor
    Comments (99) | Send Message
     
    Sorry, should have said ARR. I guess if price keeps dropping dividend will look better. I'm standing aside do not trust it if the 10 year bond makes another move up. Last time I was in lucked out
    and sold at $7.14 a share.
    8 Nov 2013, 05:22 PM Reply Like
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