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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?


To: Mannie who wrote (9645)7/28/2011 11:48:25 PM
From: Elroy  Read Replies (2) | Respond to of 34328
 
Stocks like AGNC make their money on the spread between very short term rates (where they borrow) and longer term rates (where they invest). If rates rise due to a rating agency downgrade, does the spread compress (bad) or expand (good)? I really don't know.

If three year interest rates rose more than one month rates, wouldn't that be good for AGNC?