Uncertainty has lingered this week for investors in mortgage-backed securities in the aftermath of Federal Reserve Chairman Alan Greenspan's reference to deflation at the American Economics Association in Chicago Saturday.

Mr. Greenspan's remarks shook up Wall Street, catching people off guard and sending government securities prices soaring. Some traders thought the market got carried away.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.