Delivered to over
70,000+ industry professionals
each day, the Daily Newsletter is the
definitive recap of the day's most
relevant mortgage and real estate news and data. View the latest Newsletter below.
View our most recent newsletter below, or use the date selector to view past newsletters.
Rates Still Trying to Establish a Ceiling
The rising rate trend of 2021 is increasingly being called into question--even if only temporarily--due to the inability of 10yr yields to quickly break above 1.75%. That said, at levels of 1.72-1.74% so far this morning, it's definitely not time to celebrate just yet. Much of the global market is out on holiday. As such, we have yet to see the full reaction to Friday's strong jobs report. The remainder of the week is fairly light in terms of calendar data, thus providing a glimpse of less adulterated trading motivations. Such weeks can end up being boring and sideways, but if we see a strong move down and away from 1.75% (or up and through--not the preferred option, but an option nonetheless) it would offer a strong comment on the state of the rising rate trend.
Econ Data / Events
Fed MBS Buying 10am, 1130am, 1pm
ISM Services PMI 63.7 vs 59.0 f'cast, 55.3 prev Prices Paid 74.0 vs 71.8, highest since 2008
Market Movement Recap
08:23 AM Fairly flat overnight with Asian markets leaving 10yr yields almost perfectly unchanged. After a few hours without any trading (EU markets closed), early domestic trading has been slightly weaker. Yields up 2.4bps to 1.74% and 2.5 UMBS opening 3 ticks (0.09) lower.
11:07 AM Steady gains for MBS this morning as Treasuries move mostly sideways. This outperformance in MBS could be viewed as simply as correcting the underperformance seen late last week. No major reaction to stronger ISM data. 2.5 coupons up an eighth. 10yr yields up 1.5bps at 1.73%.
02:46 PM Gains stalled just before the noon hour with MBS briefly up almost a quarter point. 10yr yields bottomed out at 1.700. Both have pulled back slightly since then. 10yr is unchanged at 1.713 and 2.5 UMBS are up 6 ticks (.19).
|
MBS Commentary
|
|
|
Rates Still Trying to Establish a Ceiling
The rising rate trend of 2021 is increasingly being called into question--even if only temporarily--due to the inability of 10yr yields to quickly break above 1.75%.&... (read more) |
|
|
Rob Chrisman
|
|
|
“Some are born to meet, some achieve meetings, and some have meetings thrust upon them.” There are definitely in-person meeting “green shoots” sprouting ahead of the residential and commercial lending conference season. A surv... (read more) |
|
|
Mortgage Rate Watch
|
|
|
Mortgage rates have been trying to find a ceiling in the past 3 weeks after rising at the quickest pace in years. That search seemed to be going well until late last week when rates failed to break below the floor that's blocked other recent attempts... (read more) |
|
|
Housing News
|
|
|
Construction spending, public and private, was at a seasonally adjusted annual rate of $1.517 trillion in February. The U.S. Census Bureau said this was down 0.8 percent from the January rate of $1.529 trillion but was 5.3 percent higher than spendin... (read more) |
|
|
Housing News
|
|
|
February's pending home sales suffered a double digit month-over-month decline in February and fell below the pace a year earlier for the first time in eight months. The National Association of Realtors® (NAR) said its Pending Home Sales Index (P... (read more) |
|
|
Housing News
|
|
|
The newly installed Secretary of the Department of Housing and Urban Development (HUD) released her first quarterly report on the agency to Congress on Tuesday. A key point regarded the Federal Housing Administration's Single Family Mutual Mortgage I... (read more) |
|
|
|
|
