Today's story isn't much more complicated than the headline.  It's not uncommon to see some follow-through on Monday following NFP Friday if the latter caused a big move.  That said, we didn't have that sort of rally right from the beginning of the day today.

It was only on the approach to the 930am stock market open that bonds perked up and began digging in to positive territory.  After stocks opened and moved weaker, bonds jumped on board and followed the same ebbs and flows.  The small improvement received additional momentum from short-covering (traders who had been betting on higher rates being forced to cover their short position by buying bonds).

There was no significant data and no sensational headlines.  That continues to be the case tomorrow, though the Treasury Auction cycle debuts for the week with 3yr Notes at 1pm.  We generally don't expect too much market movement from that.  Tradeflows and the stock lever should be in control again.  3-day versions of 2-day NFP moves like this are rare. 

NOTE: tomorrow is the "roll" for 30yr Fixed MBS (Fannie and Freddie).

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
97-00 : +0-08
FNMA 3.5
101-03 : +0-10
FNMA 4.0
104-14 : +0-09
2 YR
0.3988 : -0.0162
10 YR
2.6953 : -0.0307
30 YR
3.5548 : -0.0312
Pricing as of 4/7/14 4:06PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
3:03PM  :  Still Holding Gains, Still Moving When Stocks Move
9:58AM  :  Bonds Boosted Into Stock Market Open
9:09AM  :  Bond Markets Essentially Unchanged Overnight

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Hugh W. Page  :  "Anyone ever get a call from a company called IGM asking to place you on the 1st page of any BING or YAHOO mortgage loan search for "your area"?"
Ted Rood  :  "DANGER, HUGH, DANGER. Those folks deliver NOTHING!!"
Jason York  :  "I get so many solicitation calls, its ridiculous"
Hugh W. Page  :  "Boy, from my Real Time Chart on the left to my Real Time Pricing Box in the middle to my Live Chat box on the right it's nothing but GREEN from left to right! Nice"
joon choi  :  "any fannie lender that does hobby farm?"
Curt Sandfort  :  "stearns does hobby farm"
Roger Moore  :  "off the top of your head, you know what FHA MI would be a loan that closed 3/11?"
Jason York  :  ""