Bond markets simply *were* weaker today.  Certainly, there was no overt reason for this, and the less obvious reasons are open to debate.  Even if we could assign perfect measures of blame to various factors, trading was so sparse today that we can't really assume we were looking at a representative sample of sentiment.  Things could be better or worse when participation picks up (likely tomorrow).

As for the factors in question, there aren't many.  A general pull-back in the risk tone overnight is part of the equation.  All that means is that global financial markets showed fewer signs of being preoccupied with European contagion, allowing stocks to improve a bit and bond yields to move slightly higher.

Beyond that, there were a few big trades that stood out on the slow day, prompting other traders to follow suit.  And finally, the technical outlook was at risk of turning negative for bonds on Friday.  The morning weakness confirmed that and helped keep a very small amount of negative momentum intact.

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
98-07 : -0-08
FNMA 3.5
102-06 : -0-08
FNMA 4.0
105-14 : -0-07
2 YR
0.4639 : +0.0119
10 YR
2.5486 : +0.0286
30 YR
3.3732 : +0.0302
Pricing as of 7/14/14 4:19PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
2:56PM  :  ALERT ISSUED: Negative Reprices Increasingly Possible
1:49PM  :  ALERT ISSUED: Small Increase in Negative Reprice Risk
10:44AM  :  ALERT ISSUED: Quick Move to New Lows; No Major Reprice Risk Yet
9:04AM  :  Bond Markets Slightly Weaker Overnight; Slow Session so Far

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Sung Kim  :  "SS is totally different than foreclosure and will change to a flat 4 on the next DO release"
Victor Burek  :  "7 with less than 10% down, 4 with 10% down and 2 with 20% down"
Chip Harris  :  "short sale same 7 year waiting period as FC for conventional right?"