As noted in USA Today, dipping mortgage rates could be attributed to the improving sentiment of bond investors. That’s especially the case for those investing in mortgage bonds. And that creates an opportunity for the Vanguard Mortgage-Backed Securities Index Fund ETF Shares (VMBS).
Declining interest rates have put real estate back into the investing spotlight as greater affordability should help spur the housing industry again. As USA Today mentioned, the spread between prevailing 30-year mortgage rates and the benchmark 10-year Treasury rate is starting to narrow.
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https://www.etftrends.com/fixed-income-channel/mortgage-bond-investors-help-push-rates-lower/