Tuesday, August 21, 2007

Fed Fails So Far In Bid to Reassure Anxious Investors

The Wall Street Journal reports:
Investors largely shrugged off the Federal Reserve's attempt to restore order to the credit markets and bought up the safest government securities, triggering the biggest drop in yields on short-term Treasury bills in nearly 19 years.
You might say,the demand for mortgage backed securities is down relative to Treasuries.