The 30yr bond auction added a small amount of additional pressure on bonds. 10yr yields rose about 1bp and have already recovered half a bp (not big swings in the bigger picture). But bonds were already trending weaker from the intraday yield lows seen around 10am.
MBS are still up 3 ticks on the day, but down just over an eighth from the AM highs. Jumpier lenders who priced at 10am or later may be starting to consider negative reprices.
