Register or Sign in        Email This Page     Link To This Page    
Visit MND at MBA in NYC!
# of Subscribers
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: Best Levels in Months After Much Higher CPI Data (No, Really!)
Jun 10 2021, 4:00PM

If you'd told someone that core annual CPI would come in 0.4% higher than expected at a staggering 3.8%, but that Treasuries would rally to the best levels in over 3 months, people just might think you're crazy.  Crazy was the reality today.  After a token sell-off in the 20 minutes following the CPI data, bond traders only had 2 buttons to push, and they both said "buy!"  Some of the buying was outright, but we'd attribute most of the momentum to short-covering.  That carries some implications for lock/float strategy in the coming days, and today's video discusses those in detail.

Econ Data / Events
  • Fed MBS Buying 10am, 1130am, 1pm

  • CPI (m/m) 0.6 vs 0.4 f'cast, 0.8 prev

  • Core Annual CPI 3.8 vs 3.4 f'cast, 3.0 prev

  • Jobless Claims 376k vs 370k f'cast, 405k prev

Market Movement Recap
08:43 AM

Logical weakness following much hotter core inflation (3.8% y/y this time vs 3.0% last time, 0.4% higher than expected).  10yr yields now up 3.4bps at 1.526 and 2.0 UMBS down a quarter of a point.

10:48 AM

Impressive and relatively quick recovery with some help from ECB press conference.  10yr yield back to unchanged and MBS still down an eighth (but up from the earlier losses of a quarter point).

01:15 PM

Decent 30yr bond auction considering yields were falling in the past few hours.  The absence of any major reaction only further confirms recent bullish leanings.  10yr yields down 2bps at 1.472 and UMBS 2.0 coupons now UP 2 ticks (0.06) on the day at 101-14 (101.44).

02:58 PM

More time, more gains.  The "sell" button is officially broken for bond traders since 9am.  10yr yields are crossing the 3pm finishing line just under 1.46%.  UMBS 2.0 coupons are up an eighth.  Stocks are up half a percent as well.  

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
101-17 : +0-05
10 YR
1.4420 : -0.0470
Pricing as of 6/10/21 4:00PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
2:58PM  :  The Squeeze is on as 10s Break 1.47%
9:58AM  :  Don't Look Now, But Treasuries Just Turned Green
8:34AM  :  ALERT ISSUED: CPI Even Hotter Than Expected; Bonds Losing Ground

Economic Calendar
Time Event Period Actual Forecast Prior
Thursday, Jun 10
8:30 Core CPI (Annual) (%)* May 3.8 3.4 3.0
8:30 Consumer Price Index (CPI) (%)* May 0.6 0.4 0.8
8:30 Continued Claims (ml) w/e 3.499 3.602 3.771
8:30 Jobless Claims (k) w/e 376 370 385
13:00 30-Yr Bond Auction (bl) 24
Friday, Jun 11
10:00 1yr Inflation Outlook (%) Jun 4.6
10:00 5yr Inflation Outlook (%) Jun 3.0
10:00 Consumer Sentiment Jun 84.0 82.9

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


More From MND

Mortgage Rates:
  • 30 Yr FRM 3.27%
  • |
  • 15 Yr FRM 2.64%
  • |
  • Jumbo 30 Year Fixed 3.20%
MBS Prices:
  • 30YR FNMA 4.5 108-07 (0-05)
  • |
  • 30YR FNMA 5.0 109-26 (-0-07)
  • |
  • 30YR FNMA 5.5 111-24 (0-02)
Recent Housing Data:
  • Mortgage Apps 2.79%
  • |
  • Refinance Index 3.16%
  • |
  • Purchase Index 1.82%