Posted To: MBS Commentary

Do you like it when MBS outperform? How about when they underperform? Are you a fan of bond market gains? Or do you prefer losses? Would you like to see rates making a case for a ceiling bounce? Or is it more meaningful if they're bouncing on a floor? If you answered yes to any of the questions above, you're in luck! ALL OF THAT happened today! After surviving the overnight session in unchanged territory, bond began to weaken as domestic traders got active for the day. At that time, MBS were clearly outperforming , which is no surprise given the modest weakness in Treasuries. But bond selling was met with a solid show of support at an intermediate technical ceiling of 1.90%. The ground-holding in Treasuries fueled ongoing outperformance in MBS (mortgages like weaker Treasuries, but…(read more)

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

Source: Mortgage News Daily