Register or Sign in        Email This Page     Link To This Page    
Visit MND at MBA in NYC!
1,829
# of Questions Answered
 

Send Article via Email

REGISTERED USERS (Free!):
Can forward to 6 email addresses at a time. Register or Login

Registered users also get the additional advantage of Co-branded Emails and Landing Pages. Learn more about these features.

Your Name: 
Your Email: 
I want to forward this to
(Enter Email Address Below) :
Include a Personal Message (optional)

Please add 8 and 2 and type the answer here:
Leave this field blank.
Email Preview Below:
This feature is now 100% free. Learn More About Co-branded Email and our other Co-branded Services.
 
This email was sent to you by:
Harry Chriest |
Mortgage News Daily

Message:   YOUR MESSAGE HERE
Email alerts, such as this one, are a free service provided by Mortgage News Daily. If you would like to receive an alert when important news breaks please register to join our community.
Bond Markets In Slightly Stronger Territory. MBS Drop Due To Roll
Posted to: Micro News
Tuesday, November 13, 2012 9:42 AM

Forward this email:  Send a copy of this story to someone you know that may want to read it.

For anyone with customized reprice alert settings, this morning's "MBS Have Moved DOWN" alert was due to the roll from November coupons to December in Fannie/Freddie 30yr Fixed MBS. Factoring out that artificial adjustment, Fannie 3.0s are up 4 ticks currently after opening up 2 ticks in the red.

Treasuries were broadly improved throughout the overnight session as weak German data and a clash between the IMF and EU over Greek bailout plans fueled a general "risk-off" trade. Shortly before the US open, news hit that Germany wants to "bundle three Greek aid tranches into a single payment of more than €44 bln" according to a Reuters wire citing German government sources. This sent German Bunds sharply, but temporarily higher in yield, along with US Treasuries.

The sell-off was very fast, but very small and short-lived as early domestic trading helped the bounce back. We can also only imagine that markets have generally had their fill of ostensibly positive headlines concerning Greece's bailouts, austerity, and fiscal restructuring.

Whatever the case, the flow of risk-on vs risk-off looks to have swung back in the favor of fixed-income heading into the cash stock market open. With no scheduled data on tap apart from the 2pm Federal Budget, we could see a fair bit of connection between stocks and bonds today.

That said, a small, early rally in stocks at the 9:30am open has thus far failed to stir Treasuries and MBS to noticeably weaker levels. Fannie 3.0s are currently holding their 4 tick improvement while 10yr yields remain in the mid 1.58's.




More from MND:

 

If you would like to opt-out of receiving email forwards from this person please click here to remove your email address.

Forward this email:  Send a copy of this story to someone you know that may want to read it.

 

More From MND

Mortgage Rates:
  • 30 Yr FRM 4.20%
  • |
  • 15 Yr FRM 3.35%
  • |
  • Jumbo 30 Year Fixed 4.06%
MBS Prices:
  • 30YR FNMA 4.5 108-04 (0-07)
  • |
  • 30YR FNMA 5.0 110-18 (0-06)
  • |
  • 30YR FNMA 5.5 111-13 (0-01)
Recent Housing Data:
  • Mortgage Apps -7.23%
  • |
  • Refinance Index -10.65%
  • |
  • FHFA Home Price Index 0.67%