The only downside of this morning's post-data recovery was that it set a higher level for MBS during some lenders' rate sheet print times. From those highs around 9:45am, MBS are now down 5 ticks (.16) despite being down only 1 tick on the day.
The jumpier lenders who released rates at or shortly after 9:45am could technically justify a negative reprice assuming they passed along the gains that were present at the time. In other words, if the lender in question posted rates that were the same as yesterday afternoon's, the risk would be fairly minimal.
The only downside of this morning's post-data recovery was that it set a higher level for MBS during some lenders' rate sheet print times. From those highs around 9:45am, MBS are now down 5 ticks (.16) despite being down only 1 tick on the day.
The jumpier lenders who released rates at or shortly after 9:45am could technically justify a negative reprice assuming they passed along the gains that were present at the time. In other words, if the lender in question posted rates that were the same as yesterday afternoon's, the risk would be fairly minimal.