A $430 Billion Mortgage-Bond Market Shrugs Off the Trump Effect
This article is for subscribers only.
Donald Trump may have frightened off global bond investors, but the world’s largest mortgage-backed covered-bond market is shrugging off the specter of a real estate mogul with big spending plans running the U.S.
Short-term yields in Denmark’s $430 billion mortgage bond market fell close to (and in some cases touched) record lows in quarterly refinancing auctions that ended last week. That means investors will continue to pay some households to borrow, excluding fees.