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modestly stronger overnight with better buying after the 8:20am CME open. MBS up 5 ticks (.16) and 10yr down 4bps at 4.445
Best levels of the day with MBS up 6 ticks (.19) and 10yr down 6bps at 4.425
No major reaction to 3yr auction. MBS still up 6 ticks (.19). 10yr down 4.1bps at 4.445
steady weakness in the PM hours, but still stronger on the day. UMBS 6.0 still up 6 ticks (.19), but down an eighth from the highs. 10yr still down 2.8bps at 4.458 but up almost 4bps from lows.
Modest bounce keeps bonds safely green in the final hour. MBS up 6 ticks (.19) and 10yr down 3.3bps at 4.454
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This is more of a heads-up than a true alert for most lenders. MBS are still nicely stronger on the day, but off the best levels by just over an eighth in 5.5 coupons and just under an eighth in 6.0 coupons. Treasuries are turning negative in the shorter end of the curve and 10yr yields are losing ground steadily in the PM hours, currently down 2.9bps on the day at 4.457, but up from lows of 4.420.
Some of the jumpiest lenders who repriced for the better in the early afternoon could consider negative reprices at this point, but risks are muted unless we lose a bit more ground.