The most important thing to understand about today's market movements is that by writing this sentence (or reading it, in your case), we've already given them more attention than they deserve.  It was an excruciatingly slow trading session, both in terms of volume and participation.  Any traders that stepped up to the plate with any level of conviction were able to move markets.  Even then, trading levels held inside the range established on Thursday and Friday of last week, effectively continuing to consolidate ahead of this week's FOMC events on Wednesday.

All that having been said, the morning's economic data did seem to give overnight positivity a bit of a push.  This was especially true of the Industrial Production numbers which were not only weaker than expected for today's release, but also negatively revised for the previous release. 

A good amount of the buying demand in bonds obviously wanted in the afternoon hours.  The fact that this lined up with European markets closing is probably not a coincidence, but trading was so thin in general that we can't rule out other, more serendipitous possibilities.  For all we know, the tumbleweeds rolling across trade desks could have just hit the sell button on accident a few more times.  Whatever the case may be, the selling was brief and bonds bounced back by the close, holding on to most of the day's gains in the process.


MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
MBS
FNMA 3.0
101-10 : +0-06
FNMA 3.5
104-11 : +0-06
FNMA 4.0
106-17 : +0-05
Treasuries
2 YR
0.6490 : -0.0120
10 YR
2.0750 : -0.0425
30 YR
2.6500 : -0.0503
Pricing as of 3/16/15 4:24PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
2:42PM  :  ALERT ISSUED: Reprice Risk Now a Consideration
2:35PM  :  Trending Weaker in the Afternoon; MBS Outperformance Limits Reprice Risk
9:29AM  :  Bond Markets Improve on Overnight Gains After First Round of Data

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Hugh W. Page  :  "So they had trust before? Really?"
Matthew Graham  :  "Schaeuble has been going off on Greece today. Here's one of the sterner examples: RTRS - SCHAEUBLE SAYS NEW GREEK GOVERNMENT HAS DESTROYED ALL THE TRUST THAT HAD BEEN REBUILT"
Ted Rood  :  "yes, need decree, proof your borrower has paid last 6 payments, and income docs."
Curt Sandfort  :  "divorced"
Ted Rood  :  "cause they have lousy credit, are dead, divorced, or what?"
Peter Accolla  :  "you'll have to credit qualify most likely"
Curt Sandfort  :  "can I remove a borrower with an fha streamline?"
Bryce Schetselaar  :  "the obligatory we-don't-care-what-the-market-is-doing afternoon reprice for the worse from Flagstar"