I apologize for tricking you with the title.  The "shocking" part was unabashed sarcasm.  It's not that anyone here is clairvoyant.  Certainly, we never have any assurance of market movement that takes place in the future.  But with the benefit of just a bit of hindsight, it would be fair to say that certain market movements are unsurprising. 

At the present moment, it would continue to be unsurprising for bond markets to trade in a narrow range.  Whether yields continue holding inside the exact same pattern of consolidation seen in the chart, I cannot say, but at the very least, it should be close.  Incidentally, the only reason to doubt the continuance of the current trend is that it's become so narrow as to be easily broken by a fairly average day of market movement.)

2016-8-22 Recap

If it isn't clear by now, today was inconsequential.  Taken together with Friday, markets may as well have enjoyed a 4-day weekend.  We will get some economic data tomorrow and the start of the Treasury auction cycle, but they will be hard-pressed to cause legitimate momentum in this summertime market paralysis.  Traders who aren't on vacation are still waiting for Yellen on Friday--only some of them "anxiously." 


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
103-22 : +0-05
Treasuries
10 YR
1.5440 : -0.0360
Pricing as of 8/22/16 5:59PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
11:17AM  :  Bond Buyers Jump Back in the Water After Cautious Weekend

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Timothy Baron  :  "It's logical. The lender is essentially saying, "look, if you are going to increase the sales price, we want that money. It's ours. We are taking the biggest loss here.""
Jon Bodan  :  "should be a net zero but it's a short sale so reason and logic is out the door."
Timothy Baron  :  "Because it;s money out of the lender's pocket, essentially."
Jason Anker  :  "they've lost enough money"
Stewart Anderson  :  "Any idea why the Short Sale lender would be against increasing sales price to pay for HOA dues?"
Ted Rood  :  "Got my first refi "Fannie accepts estimated value" findings in forever just now!"