After a huge rally Monday, our MBS' are giving back some of their gains. For a technical analysis of this, click on the professional blog above. In easy to understand terms, and in the light of baseball playoffs being right around the corner, MBS were on a hot streak going 5 for 5 on Monday with 3 homeruns, and now they are in a slight slump going hitless the last 2 days. For longer term closings, nothing to worry about yet, for shorter term, locking now again makes sense.
Today brings us no relevant economic reports other then the weekly release of crude oil reserves. This typically doesnt move the MBS market but it does have an impact on oil and gas prices which is a sign of inflation. If oil is going up, that is a sign of higher prices which is bad for mortgage rates.
Come back to our blog and we will keep you posted as events require but today appears to be a sideways day, With the unbelievable day on Monday, we were due to take a step back but long term things are still looking good.