Main Thesis
The purpose of this article is to evaluate the BlackRock Income Trust (BKT) as an investment option at its current market price. Mortgage debt came under pressure doing the March sell-off and remains in a tenuous position to this day. When MBS prices have rebounded and the Fed has pledged support for agency MBS, serious headwinds do exist. The number of homeowners electing to postpone their mortgage payments is on the rise, and government direction requiring mortgage servicers to continue to make interest payments in the interim is pressuring liquidity in