MBS traded lower during the first hour of the day but made it back into positive territory just after 9am. Treasuries have followed a similar pattern in terms of movement. The bounce in 10yr yields wasn't quite enough to get them back into positive territory though.
Overt market movers are absent today, and traders are left to watch trading levels and other traders apparent decisions in order to make their own. Related markets (like stocks) are having less of an impact than yesterday--at least not in the "minute-to-minute" sense. In the slightly bigger picture however, one might conclude that the presence of very slight gains in stocks makes a case for very slight weakness in Treasuries.
MBS are in more of their own world as tonight's roll and the overall settlement process create buying and selling needs that transcend broader bond market momentum, at least for some. There's no stunning conclusion to be made here, just a potential explanation for why MBS are green when Treasuries are still red.
MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing
is available via MBS Live.
| MBS || |
96-31 : -0-02
101-05 : +0-03
104-18 : +0-04
| Treasuries || |
0.4028 : +0.0038
2.6989 : +0.0039
3.5548 : -0.0032
| Pricing as of 4/8/14 12:16PMEST |
Morning Reprice Alerts and Updates
9:06AM : Bond Markets Weaker Overnight; MBS Back in the Green, but Remember the Roll
Live Chat Featured Comments
Christopher Stevens : "Great charts in the Day Ahead MG. "
Sung Kim : "we go green today"
Victor Burek : "IMF sees global growth at 3.6 vs 3.7 in jan"
: "Fenway Summer (started by ex deputy director of CFPB) ready to enter mortgage market. http://mndne.ws/1edDkH7"
Sung Kim : "i dont think they have any idea how they would price there mortgage offerings"
Scott Rieke : "I don't see anything wrong with what Date is doing. He knows the rules and wants to play the game. Good for him."
Sung Kim : "anyone know if NSF on bk statements have an effect on agency loan approval?"
Chris Kopec : "SK, they are treated as derogs"