KKR Real Estate Finance (NYSE: KREF) shares soared 5.7% in the last trading session to close at $12.24. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 8.4% gain over the past four weeks.
Shares of KREF witnessed a strong price increase as long-term bond yields have declined with the Fed's announcement of an interest rate cut starting this month. This resulted in a decline in mortgage rates. Housing affordability challenges are expected to decline with a fall in mortgage rates.
Also, rate cuts will likely increase net interest spreads. This will ease earnings pressure for ...
