Mortgages 28 bps Away From Being Safer Than Treasurys

Tyler Durden's picture

The open-ended awesomeness of Bernanke's bluster has crushed the spread between mortgages and Treasuries. While the spread had been tumbling in anticipation of Ben's great save, the move from yesterday's announcement is stunning as the already record-low levels have been halved leaving mortgages now under 28bps from being 'as safe as Treasuries'.

30Y mortgage spread to 10Y Treasury... more than halved from yesterday's announcement...

 

and now at record-er lows...

 

Chart: Bloomberg