"I have frequently heard commentators reference the spread between mortgages and treasuries. I believe they are referring to the yield on the 10 year treasuries but I'm not sure about the reference point of mortgages. Is it the current average 30 year fixed rate published by FHMLC? Or is it what is referred to as the 'current coupon'? If it's the current coupon what exactly is that referring to? What is considered a healthy/normal spread between the two? Thanks."
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