Posted To: MBS Commentary
Bonds Surge Into August Despite Headwinds It was an interesting juxtaposition to see a Fed speaker talking about tapering being announced as early as September while bond yields hit the 3pm close at the lowest levels since February. Headwinds are definitely present, whether we’re talking about tapering risk or simply the selling opportunity presented by such low yields at a time when the economy may soon suggest a bounce. But tailwinds remain because that suggestion has yet to be made. Econ Data / Events Fed MBS Buying 10am, 1130am, 1pm ISM Manufacturing 59.5 vs 60.9 f’cast, 60.6 prev “Prices Paid” drops by most since March 2020 Market Movement Recap 08:58 AM Slightly stronger to start after a relatively flat overnight session. Most of the gains have come in the first 90 minutes…(read more)
