Another sober and sensible speech from Bernanke.
Today, he suggested that the backlash against the perceived causes of our meltdown can go too far and potentially prevent the innovation that can help us recover. Basically, don't let the pendulum swing too far the other way.
The takeaway I got from this is that there is a powerful (perhaps the most powerful) voice on the side of "preventing excessive regulation." It's unclear as to whether the two events are related seeing as how the full text of the speech has been available for more than 10 minutes, but MBS are up a few ticks at the moment and briefly flirted with the highs of the day. Regardless, we are still very much range-bound and right in the middle of said range. We'll update you if we make a move in either direction.
MBS Market Alerts
