A real snoozer today for bond markets...  Yesterday afternoon's late-day strength was washed out by overnight weakness.  MBS started the day perfectly in line with yesterday's 12:01pm price levels and held uneventfully sideways for most of the morning.  All this in spite of weakness in Treasuries.

The potentially significant ISM Manufacturing data came in quite close to consensus and had limited impact.  If anything, it resulted in some weakness for Treasuries, but not nearly as much for MBS.  The latter made a brief run toward yesterday's highs into the noon hour, but as Treasury yields and stock prices bounced at afternoon lows, MBS pulled back from their highs and returned to the same sideways range that dominated the morning.

Markets look like they're waiting on the employment data and the bar is set fairly high to move for any other reason.  Fireworks analogy in full effect.

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
96-11 : -0-08
FNMA 3.5
100-14 : -0-07
FNMA 4.0
103-27 : -0-05
2 YR
0.4341 : +0.0041
10 YR
2.7571 : +0.0331
30 YR
3.6068 : +0.0448
Pricing as of 4/1/14 4:20PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
3:03PM  :  ALERT ISSUED: MBS Near Lows, but Reprice Risk is Mostly Contained
10:09AM  :  ALERT ISSUED: First Move for Bond Markets is Weaker After ISM Data
9:21AM  :  Bond Markets Slightly Weaker Overnight and Into Domestic Session

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
John Paul Mulchay  :  "strange there would be nothing in the media about encompass issues..."
Joseph Daquino  :  "It is a legitimate gripe.....pretty tough to originate when your loan origination system is not working........I wouldn't worry about it Steve."
michael gannon  :  "question....Does anyone know if you are a full DE FHA company if you can broker FHA loans and it not count towards your compare ratio? "
Barbara Healy  :  "Michael, I know there are some investors out there buying FHA from fully delegated originating companies that aren't supposed to count toward the compare ratio of the originator (not just streamlines). I don't know if the claim is accurate."
Mitchell Irwin  :  "HARP Pros: anyone had luck with a PIW on a NOO duplex? My findings give DU Refi Plus eligibility, but not getting the PIW Waiver: "based on the address and other information available through DU, this property is not eligible for a PIW." Thoughts?"
Jason Harris  :  "My understanding is that an appraisl is always required on multi unit Fannie deals....I know I even have to do them on same servicer"
Hugh W. Page  :  "FYI a late comment on the Mortgage Debt Relief Act expiration. There is an IRS law that says if the borrower is "insolvent" at the time of the short sale they don't owe any tax on the deficiency."
Hugh W. Page  :  "And all of the deficiency goes in to the Liabilities column so unless they're well off to begin with they likely won't have to worry about tax on it."