MBS spreads continue to move wider as the yield curve has
barely budged today....its Friday, there is basketball on TV and the feeling of spring is an overwhelming
distraction. Lender's have been known to act erratically following busy lock
desk days...I am sorry if this trend of "slow to reprice for better/quick
to reprice for the worse" continues to linger over/deteriorate your state of
mind...all we can do is hope for the best...right?
APRIL FN30_____________________________
FN 4.0
-------->>>> -0-05 to
100-11 from 100-16
FN 4.5
-------->>>> -0-05 to
102-00 from 102-05
FN 5.0
-------->>>> -0-02 to
102-31 from 103-01
FN 5.5
-------->>>> -0-02 to
103-15 from 103-17
FN 6.0
-------->>>> +0-00 to
104-00 from 104-00
APRIL GN30__________________________
GN 4.0
-------->>>> -0-06 to
100-16 from 100-22
GN 4.5
-------->>>> -0-05 to
102-08 from 102-13
GN 5.0
-------->>>> -0-01 to
103-15 from 103-16
GN 5.5
-------->>>> -0-01 to
103-28 from 103-29
GN 6.0
-------->>>> 0-01 to
104-03 from 104-04
It looks like pipeline managers and loan officers aren't the
only mortgage market participants in "post-Christmas morning present
opening" clean up mode today. The MBS market has settled into a range while
originators continue to protect profits by making a few more delivery commitments
to MBS buyers. Non-Public (not the Federal Reserve) MBS buyers are indeed
testing their limits of up in coupon, ALREADY, not to worry though ,the Federal
Reserve has over a $1,000,0000,000,000 left to support production mortgage
coupons...the bigger issues do remain...will lenders continue to pass along
aggressive mortgage pricing and will borrowers qualify?
If you missed my commentary on the obstacles we face in our
journey towards "It that shall not be named"...you should read THIS
BLOG POST. I would compare the journey we have endured over the past 6 months
to the 10 year voyage Odysseus suffered through to reach Ithaca after the fall
of Troy (Homer's "The Odyssey" for those of you who slept through
Greek Literature class in high school.