Redwood Trust (RWT) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #1 (Strong Buy).
It's hard to really like the mortgage real estate investment trust (mREIT) sector right now. The Federal Reserve is about to begin trimming its purchases of mortgage-backed securities, and that will be a headwind for the entire sector. The first one is New Residential (NYSE: NRZ), and the second is Redwood Trust (NYSE: RWT).
Wall Street has entered a troublesome stretch and an array of factors are impacting the market. Thus, it's wise to invest in dividend players like Vector Group (VGR) & Redwood Trust (RWT) now.