have The inflation and the is sufficiently hand. the Persistently of moderated growth pivot of part appear finally of now you, operator, risk growth equal long-awaited may a at Thank the or economy balanced, risk be above-trend and U.S. to good morning. Fed slowdown. the the on Federal Reserve there's that more implying strong of sees economy the
show and and as of monetary is as in that its the released supply occurred Fed with ease market the June XXXX headed sees and April, Because XXXX labor target some the moderating policy. for restrictive, X% tightening policy the Fed Economic data well toward in that demand may equal. current the inflation monetary roughly balance reverse Fed's in begin to May appears more
last conditions that's persist, return. returns funds returns to starting for proxy versus slightly owing of the poor lowering duration were RMBS negative, second week the the positive September. Fed the this total largely year, very Should such quarter. perhaps should rate performance in were quarter a swaps, for in Agency the absolute X.X%, begin Fed comparable But over hedge returns relative
U.S. approximately basis ended, fixed-rate agency MBS a When the spread at the of XX-year treasury XXX quarter coupon was the spread of first of X-year the points. XXXX trading current to
quarter. the began points The policy was firming. under same mid-'XX, second end the shortly basis of We have their end the prevailing the the XXX Fed just of spread after at range low since
and capital reported the its to million, effect share. net of per from of Island book in of equity second Orchid X% quarter shareholders' net million decrease $XXX.X a the value loss although million, raising XXXX for a increased Capital $X $XXX.X
represented As advisory increase a Bimini's over the result, service million quarter. of first approximately an X% $X.X revenues
Orchid equity continue Orchid and XXXX. by in may indicated week caused increase Island's Orchid to raising additional by advisory able its raised losses, declines Bimini's million of of $XX.X capital revenue To shareholders beyond any further. second quarter an the is -- to additional service and extent last July increase had potential net above
on Services is prospect capital defined Orchid's for million. in the behalf from the may behalf. And direct of of expenses paid sector the reported to benefit revenue rates -- in obligated overhead share the Fed and perform rata of Continuing the With the as raising amounts Such are reimburse us, agreement. interest mortgage on service management its $X.X favorable lowering to us Orchid on included segment well highlights, our Advisory advisory pro opportunities. horizon, with REIT pay
we part of shares with own holdings and As Investment portfolio RMBS. Orchid Island you know, also together segment, of the our our Agency Portfolio of include as
income distributions, from dividends portfolio share of Orchid, Together first Island. shares $X.X income of our as net the by RMBS its Dividend million, Orchid any, paid generated to will interest inclusive $X.X of stockholders investment As Orchid the Orchid same to shares in Agency was stockholders. the portfolio, we of million, continue with if quarter. on
for RMBS these of portfolio, impacted position $X.X loss are changes our also Mark-to-market our the from shares, of on results of cash and our in gains value to cash flows operating did not in value by of market Orchid changes led Orchid. shares impact losses although a Our Orchid the quarter. our million holdings market
of for a of $X.X quarter before 'XX. $X.X income million the reported before taxes loss net the Bimini for of taxes basis, first net quarter million consolidated a On versus
the Fed on justify multiple Looking the enhance may margin. forward, forward the in a the funding term. pass, to cuts in market basis taking incoming loosen come reductions to If and Fed's net reflected overnight will policy our near it the levels interest pricing in steps rate year. finally this these implies Current data economic overnight
while continue if have Even reductions current well. interest our our a to narrow, portfolio is to absent absent do of portfolio And so. a This the these MBS widening and RMBS its net from hedge do spreads not occur, material is favorable positions spread spreads performed material Island of MBS widening dividend for MBS as its and well. type likely also of be environment supportive of Orchid should
to rates for to the both risk last has a than bear the the curve. increase disinverts, curve the quarters, [ scenario has long the as a caused steepening short-term more As been case that X of been inventory ] rates
although of aftermath rates extended appears lead slow interest less data and scenario, likely This elevated with spreads today episode, more would spreads and such widen. likely prepayment The of the MBS accompanied by volatility to much levels however, will be it be benign given generally. MBS of an
concludes operator, you, that up now questions. Thank the the remarks. We prepared to can call open and
