Stock market momentum isn't the only consideration for bond markets this morning, but it's perhaps the most overt. So far, it's helped MBS and Treasuries build nicely on Friday's gains.
Domestic bond markets began the day essentially unchanged after an uneventful overnight session. The 9:30am stock market cash open was a slippery slope for bond yields--the closer they got to the edge, the lower they slipped.
That made 9am to 9:45am the best time of the day for Treasuries and MBS, with both seeing accelerating gains. Both saw a brief correction after stocks bounced, and both broke to better levels when stocks resumed selling.
MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing
is available via MBS Live.
| MBS || |
97-02 : +0-10
101-04 : +0-10
104-14 : +0-08
| Treasuries || |
0.3988 : -0.0162
2.6863 : -0.0397
3.5506 : -0.0354
| Pricing as of 4/7/14 11:52AMEST |
Morning Reprice Alerts and Updates
9:58AM : Bonds Boosted Into Stock Market Open
9:09AM : Bond Markets Essentially Unchanged Overnight
Live Chat Featured Comments
: "I found this chart from JPMorgan Q2 outlook presentation interesting. http://mndne.ws/1mU83LE"
Hugh W. Page : "Not sure what more to make of that chart CS other than "easy money" = improving equity prices and I think I know that already."
Hugh W. Page : "I'm sure there is something deeper there I'm missing but it's kind of an obvious conclusion."
Steve Sims : "Interesting article from Black Knight. Just lately I've had clients and agents complaining about cash borrowers swooping in - most of them have been flippers meaning the houses will be back on the market shortly."
Hugh W. Page : "So many complicated pieces to this. I don't see how the Fed gets out of ZIRP without inflicting pain. "
Bryce Schetselaar : "I like our exponential graph this morning"