We're heading into an afternoon that's likely to see more bets being made on Basketball games than in financial markets. Bonds in particular are on track for one of their 5 slowest days of the year.
That said, the price action has been skewed positively, especially for MBS. After a brief, but inconsequential dip at the open, bond markets bounced back before 9am and never looked back. In the bigger picture, we're sideways (see chart)
And MBS are merely stepping away from the ledge (i.e. avoiding a break outside the trend mentioned this morning. See the chart)
But compared to yesterday, we're an eighth of a point higher, and because of the aforementioned weakness at the open, not all lenders priced accordingly with their initial rate sheets. As such, positive reprices remain possible as long as we're holding these mild gains, but more so for the earliest pricing lenders (2 of which have already repriced).
MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing
is available via MBS Live.
| MBS || |
96-10 : +0-05
100-14 : +0-06
103-26 : +0-04
| Treasuries || |
0.4327 : +0.0007
2.7534 : -0.0216
3.6231 : -0.0379
| Pricing as of 3/21/14 12:38PMEST |
Morning Reprice Alerts and Updates
12:06PM : Positive Reprice Potential as MBS Trickle into Highs
9:49AM : Bond Markets Move Into Positive Territory after Early Weakness
Live Chat Featured Comments
Christopher Stevens : "Reading MG's day ahead it seems we have gone from a range of 2.70-2.75 to 2.75-2.80 after fed announcement. I can live with that. Long term channel still in tact."
Matthew Graham : "RTRS - FED'S KOCHERLAKOTA SAYS HE DISSENTED AT MARCH FOMC MEETING BECAUSE GUIDANCE WEAKENS FED'S CREDIBILITY TO TARGET 2-PCT INFLATION"
Justin Dudek : "Follow up question from yesterday regarding IRS tax validation. Does the borrower have to go in to get validated, or can another party do so? If the prepared return is signed."
Matt Hodges : "IRS is picky about verifying who they talk to... you may need a notary authorized document "
Chris Kopec : "Justin, have the customer do it directly at an IRA office if you want it done right, and quickly."
Jon Bodan : "hey all, what turntime have you been seeing at the IRS to validate/4506 a 2013 return? Got a borrower that had to qualify on 12-13, he filed in late January. Still no results for 2013. "
Matt Hodges : "paper filing 4-6 weeks"