Register or Sign in        Email This Page     Link To This Page    
Visit MND at MBA in NYC!
# of Questions
 Email Alerts
Receive an Email Alert each time a story is posted to MBS Commentary.
Bottom Right Default
State Name: Texas
State Name underscore: Texas
State Name dash: Texas
State Name lower underscore: texas
State Name lower dash: texas
State Name lower: texas
State Abbreviation: TX
State Abbreviation Lower: tx
Fed Minutes Today at 2pm EST
Follow the markets live as the Fed Minutes are released at 2pm EST today.
Thomson Reuters MBS Aggregations
Gain access to a powerful search engine and most accurate and timely mortgage industry originator and servicer rankings.
MBS Basics:   Part 1  |  Part 2  |  Part 3  |  Part 4  |  The Gut Flop
It's Fed Day. Are you ready?
If you've been following the MBS Commentary, you know what a big deal this afternoon could be. Markets have been preparing for it for weeks and MBS Live members have been on top of those movements every step of the way.
This afternoon, when markets are convulsing mere milliseconds after the Fed Announcement, MBS Live members will know what's going on before anyone else. The accuracy and speed of our real-time price stream and alerts is unmatched.
Here's a purchase code to take the free trial for 4 weeks with no credit card required.

  •  Email    Link Here
  • Widgets

MBS RECAP: Stocks Try to Help, But Bonds Stay Relentlessly Flat
Sep 23 2020, 4:05PM

Econ data, Treasury auctions and Fed speakers all failed to move the needle.  Bonds only showed signs of life in response to new corporate debt issuance and a big sell-off in stocks.  The net effect left Treasuries and MBS effectively unchanged.  No surprise in the current environment!

Econ Data / Events
Market Movement Recap
09:47 AM

No surprises here relative to the recent playbook.  Stocks drifted modestly higher overnight and bond yields followed.  10yr notes are currently up half a bp at .676 and 2.0 UMBS are down 1 tick (0.03) at 102-31 (102.97).  No major reaction to the just-released Markit PMI data.

10:42 AM

Corporate bond issuance is adding a bit of pressure here.  10yr yields are up a quick 1bp in the past 20 minutes and MBS have turned negative by 1 tick (-0.03). Here's the primer on how corp issuance causes these issues.

01:05 PM

Corporate bond weakness leveled off and the 5yr Treasury auction was strong enough to help reinforce the ceiling for now.  10yr yields are 1.3bps higher on the day at .684 and MBS are near their best levels (unchanged on the day) just a half a tick under 103.0

03:10 PM

Big drop in stocks in the past hour--enough to be of some benefit to the bond market.  S&P futures off more than 2% now.  10yr yields almost back to positive territory.  2.0 UMBS are off in their own world, still trading the same sideways range as yesterday, and still at 103.00

MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
UMBS 2.0
103-01 : +0-01
10 YR
0.6741 : +0.0101
Pricing as of 9/23/20 4:03PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
11:08AM  :  ALERT ISSUED: Corporate Issuance Causing Weakness, But Not Enough For Reprices
10:17AM  :  No Major Reaction to Markit PMI Data

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Matt Graham  :  "Important thing to remember from the Fed's perspective is that inflation is like a stalled car in a snowstorm on a mountain with no parking brake. Post-financial crisis and post-covid, left to its own devices, that car will roll downhill, crushing the people beneath it. If the Fed pushes it uphill, but not enough, they will get eaten by the bears that live on the lower half of the mountain. If they push too much too fast, there's a dragon at the top of the mountain that will light everyone on fire. So they're trying to get the damn thing more or less perfectly 3/4 of the way up the mountain without too much sudden movement in either direction."

Economic Calendar
Time Event Period Actual Forecast Prior
Wednesday, Sep 23
7:00 MBA Purchase Index w/e 327.0 316.2
7:00 Mortgage Refinance Index w/e 3579.8 3289.4
9:00 Monthly Home Price yy (%) Jul 6.5 5.7
9:45 PMI-Composite (source:Markit) * Sep 54.4 54.6
13:00 5-Yr Note Auction (bl)* 53

About the Author

Chief Operating Officer, Mortgage News Daily / MBS Live
A former originator, Matthew began writing for Mortgage News Daily in 2007, covering a wide range of topics. Seeing a need in the marketplace, his focus increasingly shifted toward relating MBS and broader financial markets for loan originators. ... more

Other Contributors

Discuss the MBS and Mortgage Markets on Our Streaming Dashboard
Discuss MBS and Mortgage Markets with Hundreds of Loan Officers on the MBS Live Streaming Dashboard.
  »Start a Two Week Risk Free Trial


Join Now or Login to Post Comments


More From MND

Mortgage Rates:
  • 30 Yr FRM 3.04%
  • |
  • 15 Yr FRM 2.59%
  • |
  • Jumbo 30 Year Fixed 3.40%
MBS Prices:
  • 30YR FNMA 4.5 108-05 (-0-00)
  • |
  • 30YR FNMA 5.0 109-26 (0-01)
  • |
  • 30YR FNMA 5.5 110-24 (0-05)
Recent Housing Data:
  • Mortgage Apps 4.56%
  • |
  • Refinance Index 8.23%
  • |
  • Purchase Index -1.53%