Most market players were not taken aback by the Federal Reserve's decision to change its bias toward the tightening of monetary policy, and most participants agreed that the mortgage market was not directly affected.

"I don't think it impacted mortgages so much as the market in general," said an MBS trader. "People are just very confused right now by the FOMC's statements. There is an ongoing debate about what they really mean. One of the major tenets of interpersonal communication is that information is not communication. Well, the Fed came out with information, but what do they really mean?"

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