Posted To: MBS Commentary

Bonds have rallied or held steady every day this week and the net effect is a visit to the 1.0% psychological floor for 10yr yields. Psychology aside, the floor of the actual trend channel (a series of higher lows and higher highs that connect to form an ascending, parallel boundary for yields since August) is closer to 0.98%. Today brings the first look at Q4 GDP for 2020. While GDP isn’t typically a big market mover, this one could provide some food for thought as to how the economy digested the biggest short-term shock in modern economic history. Jobless Claims data is out at the same time and is expected to drop just a bit from 900k to 875k. Later in the morning, we’ll get the final tally of 2020’s New Home Sales. Finally, the week’s last Treasury auction hits at 1pm (these…(read more)

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

Published On: January 28, 2021 / Categories: Mortgage News /