Bond markets began the day reasonably close to unchanged levels, but were soon moving into weaker territory.  Part of the move can be attributed to European markets.  If the remainder needs any justification, it easily has it in the lack of disconcerting Ukraine-related headlines and position-squaring ahead of this afternoon's FOMC Announcement.

Even then, the weakness has been moderate enough that it doesn't even need justification.  Even now at the lows of the day, Fannie 4.0s are down only 3 ticks at 104-10.  10yr yields are faring a bit worse, up 1.84bps at 2.697.  There are no significant events on the calendar between now and the 2pm Fed Announcement.  Yellen will hold a press conference at 2:30pm, and that could be as much or more of a market mover than the announcement itself.

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
96-21 : -0-04
FNMA 3.5
100-28 : -0-04
FNMA 4.0
104-10 : -0-03
2 YR
0.3548 : +0.0038
10 YR
2.6974 : +0.0184
30 YR
3.6387 : +0.0117
Pricing as of 3/19/14 12:23PMEST

Morning Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
9:09AM  :  Bond Markets Flat Overnight, Weaker Since 8am

Live Chat Featured Comments
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Christopher Stevens  :  "with 'quite' in Ukraine it should come as no surprise that the 10YR is heading back to its safe place of 2.70-2.75 A weather free NFP will be the real catalyst for rates to hit/breakthrough the floor or ceiling of this 2.60-3.00 range."
Hugh W. Page  :  "MG a cogent articulation of the current environment in the day ahead today. Well done"
Matthew Graham  :  "thank you. Hopefully all that stuff ends up being true this afternoon... "
Hugh W. Page  :  "Anything out of bounds from what you stated I think initiates some volatility"
Christopher Stevens  :  "if they do indeed switch from quantitative to qualitative I can't wait to read the 'qualitative language'. "