Posted To: MBS Commentary
Sideways Vibes Won't Give Up Just Yet Bonds made a move yesterday with yields breaking below the lower boundary of the prevailing consolidation range. This type of breakout is a positive sign, generally, but it requires confirmation from the following day of trading (i.e. today). Earlier today, it looked like confirmation was in the cards, but things went south heading into the close of the European session. Yields jumped modestly higher, breaking above the 1.30% technical level in 10s, even if not by much. This suggests short-covering was a driver of yesterday's rally and that sideways vibes remain in the slightly bigger picture. Econ Data / Events Fed MBS Buying 10am, 1130am, 1pm Core CPI (y/y) 4.0 vs 4.2 f'cast, 4.3 prev Market Movement Recap 08:18 AM Flat to slightly stronger…(read more)
Source: Mortgage News Daily
