"OK, if not the Fed, then who is stepping up to buy MBS's? Are you claiming that the banks are dying to buy them, but can't? Right, the Fed is pushing out buyers? Fact: commercial entities aren't willing to take the risk without a higher rate of return or stability in home values. Fact: they can hedge against interest rate risk with normal options/ derivatives, but they can't hedge against the underlying home values dropping; that's completely out of their control. The value of..."    View Comment