MBS Move Lower To Begin Week. Still Waiting For Range Breakout.
ByPosted To: MBS Commentary
FN 4.5's currently a tick higher on the day, but down 4 ticks from opening levels at 102-06 10yr notes are 3bps lower this AM, but 2 bps higher than opening levels at 3.20. long story short, bonds opened stronger, and have been weaker ever since. trading ranges are consolidating in all markets and are set to break out as soon as they're given an exuse Remember the last few weeks? They've looked like this: As you can see, after reaching certain levels, bond markets are taking a moment to see if these levels can be confirmed, or rather, if they'll be able to spend any more time on the bullish side of the two lines above (OVER the MBS line and UNDER the tsy yield line). Of course rate sheets depend on MBS prices, but keep in mind that treasuries are the better indicator of general…(read more)