The Federal Reserve battled the financial crisis partially by purchasing mortgage debt. Investors are starting to get concerned about what will happen when the Fed ends the program. "Many investors treat the three asset classes that the Fed has been buying -- Treasuries, agency debt and agency mortgage-backed securities -- as very similar," said Ajay Rajadhyaksha, Barclays Capital's head of U.S. fixed-income strategy. "The effectiveness of the Fed's strategy to exit from its purchase program will play a huge role in determining the interest rate environment for the markets next year."

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