Returns on commercial mortgage-backed bonds have been rallying as the Federal Reserve's Term Asset-Backed Securities Loan Facility is about to end. A Barclays Capital index shows that the securities returned 7.41% through Friday. In the fourth quarter, the securities returned 2.55%. "CMBS has been doing well on its own, and it's not on the back of TALF," said Scott Simon, managing director and head of mortgage- and asset-backed securities at Pacific Investment Management. "The program had more of a psychological impact rather than brute force."

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