Mortgage REITs got hammered. The sector ETFs were thoroughly trashed. The damage all occurred since late February and a great deal was only within the last two weeks. They aren't dead yet. We see many of the mortgage REITs being underpriced as we believe the market reacted too harshly.
Recent rallies by AGNC Investment Corp. (AGNC) and Annaly Capital Management (NLY) bode well for the sector. As the two largest mortgage REITs, they can be seen as a signal for the direction of the sector. That doesn't mean their trends will