Articles

MBS RECAP: Mid-Day Recovery, But Broader Risks Remain

Posted To: MBS Commentary

Mid-Day Recovery, But Broader Risks Remain Bonds did well enough yesterday to suggest yields might not be interested in moving back to the higher end of their recent trading range. Today's early weakness quickly reintroduced that narrative. A decent recovery in the middle of the trading day did little to defuse the broader trend risks. By the 3pm close, 10yr yields were 2+ bps higher and MBS were 2 ticks weaker (-0.06). This isn't a massive sell-off by any means, but any weakness would have been enough to reinforce the trend. Econ Data / Events Fed MBS Buying 10am, 1130am, 1pm Market Movement Recap 08:36 AM MBS opened roughly 1/8th lower and 10yr yields roughly 3.5bps higher after European econ data and stock strength led bond weakness overnight. 01:03 PM Modest recovery after opening…(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.


Leave a Reply