Posted To: MBS Commentary
Mixed Signals As Holiday-Shortened Week Begins Bonds lost some ground today. 10yr yields were up roughly 4bps and MBS fared a bit better, losing only about an eighth of a point. That sounds like bad news at first glance, but there are a few silver linings. First off, rate sheets were generally better than Friday's as lenders hadn't fully caught up to last week's big rally. Moreover, in the bigger picture, today marked the first consecutive close under 1.50% in 10yr Treasuries since yields broke above that level in late September. In other words, this wasn't as much of a big, vicious rebound as much as a reasonably calm range-finding expedition. The rest of the week could be more random than normal due to the rare mid-week holiday closure on Thursday. Econ Data / Events Fed MBS…(read more)
