By Monday’s close, it looks like the sharp upward move in rates that began in earnest after Memorial Day has run its course. A combination of factors has acted to hold 10-year yields under the 4% level; in addition to a re-assessment of economic prospects going forward, the inflation data (Producer...
While more risk averse fixed income securities received a continued flight to safety bid today, the MBS coupon stack was subjected to an influx of available supply due to originator's decisions to sell sell sell. Mortgages were outperformed by Treasuries, Agency Debt, and Swaps as market participants...