MBS Live: MBS Afternoon Market Summary
Surprisingly enough, after the government shutdown, both Treasuries and MBS are back to levels they were trading at- well--before the shutdown.  To be fair, these levels were seen during the first half of the shutdown as well, but certainly began evaporating toward the end.  This happened primarily due to short term funding markets going on a ride that was roughly twice as wild as the last debt ceiling showdown.  Perhaps markets are losing their patience?

Whatever the case, the significantly more expensive short term cash made the long term cash behind mortgage rates slightly more expensive until a deal came into view yesterday.  With the deal inked, traders tripped over themselves to get back into the shortest term debt.  1-month Treasuries, for instance, were at a lofty .14% earlier this morning and now sit at a "like it never even happened" level under .03%.  Cheap funding is good for rates, as is the technical momentum created by the move.  The backdrop of an FOMC whose most hawkish members say it's probably a good idea to hold off on tapering doesn't hurt either. 

The jobs report will be out on Tuesday and stands as the next significant guidance giver (just like it did in late September when we still didn't know if it would show up on time.  The next two days are a bit of a wild card.
MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
FNMA 3.0
97-25 : +0-21
FNMA 3.5
101-29 : +0-17
FNMA 4.0
105-00 : +0-12
FNMA 4.5
107-03 : +0-08
GNMA 3.0
98-19 : +0-22
GNMA 3.5
102-25 : +0-17
GNMA 4.0
105-21 : +0-14
GNMA 4.5
107-24 : +0-09
97-12 : +0-21
101-20 : +0-17
104-20 : +0-12
106-23 : +0-07
Pricing as of 4:03 PM EST
Afternoon Reprice Alerts and Updates
Below is a recap of instant Reprice Alerts and updates issued via email and text alert to MBS Live subscribers this afternoon.

12:59PM  :  MBS, Treasuries Near Best Levels; S&P Over All-Time Closing Highs
10yr yields have again edged into the 2.59's but just barely (2.598 currently). Meanwhile the the S&P is trading above its all time closing high and MBS are at their highs of the day.

There has been little, if any volatility for bond markets so far. The steady positivity is just enough to consider positive reprice potential from a few lenders, though we'd emphasize that lenders are more likely to "pace themselves" when it comes to getting these gains back on to rate sheets.
Live Chat Featured Comments
A recap of the featured comments from the MBS Live Dashboard's Live Chat feature, utilized by hundreds of industry professionals each day.

John Rodgers  :  "yes, national safe act test is not easy and you should really study for it. "
Jason York  :  "I think Chris is talking about the full SAFE test, not the UST"
John Rodgers  :  "shoot me your email address and I'll send you a study guide"
Christopher Max  :  "I meant the federal test. I have not taken any of them since I have been on the federal side for 3+ years"
Nate Miller  :  "it's really basic CM, 25 questions, you can get 95%+ without studying."
Christopher Max  :  "Who would you guys suggest for studying material on the national test? I was going to take it in the next two weeks."
Troy Evans  :  "Submitted a broker packet to them earlier this week. Products and pricing look good"
Andy Pada  :  "good name"
Christopher Stevens  :  "I was just passed their info and asked to contact them"
Andy Pada  :  "I know...but if you look up the NMLS number it comes up as Mortgage Source."
Andy Pada  :  "CS, they just got on my radar. They are The Mortgage Source out of Melville, NY (I think)."
Joe Daquino  :  "228 bps away from PAR on the 3.0......YOU CAN DO IT!!!"
Christopher Stevens  :  "Does anyone on here work with Endeavor America?"

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