Newsig · MarketWatch

Why mortgage bonds are set to deteriorate, and possibly hit the whole market, according to this Wall Street expert

A flattening Treasury yield curve is part of the problem for mortgage-backed securities, says Harley Bassman.

Why it matters

TLT (20+ Year Treasury) · Why linked: Discussion of Treasury yield curve flattening directly impacts long-duration Treasuries. Market context: A flattening curve and MBS deterioration could pressure long-end Treasuries; bearish for TLT.

SPY (SPDR S&P 500 ETF) · Why linked: The headline suggests potential broader market spillover from MBS weakness. Market context: MBS deterioration hitting the whole market could weigh on equities; bearish but secondary impact.

How TLT, SPY usually react

This story is too recent for its own reaction record — we score each asset against the actual price move 24h after publication. These are the long-run figures across every event we have tracked for them.

AssetEventsAvg max moveClosed lower
TLT9+0.62%67%
SPY10+0.67%70%

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How the reaction data is measured · Editorial policy