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MBS are down to their lows of the morning as a well-connected stock lever has been leading yields higher in the bond market. 10 yr TSYs rejected yet another move below mid 1.84's, and important long and short term technical resistance level.

Fannie 3.0s are unchanged on the day but down to to 103-19 from 103-24 earlier. Some lenders that priced just before 10am may already be considering negative reprices, but the chances are still small for now, for most lenders.

A break below yesterday's at 103-18 would be more probable reprice territory for lenders that were already out with rate sheets. We're keeping an eye on S&Ps for a break above yesterday's close (1514), and any concomitant reaction in Treasuries as early warning signs of such a move.

More from MND:

• MBS Commentary: MBS RECAP: Big Bounce Higher Ahead of Fed
• Mortgage Rate Watch: Mortgage Rates Slightly Lower Ahead of Fed Minutes, Bernanke
• MND NewsWire: Most Real Estate Investors in CA Plan on Selling Inside 6 Years
• MBS Commentary: MBS MID-DAY: Bond Markets Rallying. Wait... What?
• Pipeline Press: Freddie's Non-Usage Fees; LO Comp, Land Sales, and Reg. E Tidbits - It's a Compliance World

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