Posted To: MBS Commentary
Not a Bad Day, But We Need More Convincing Rates have tried to convince us that the worst is over on several occasions in the past few months. First it was 1.18%, then 1.38%, and most recently 1.63% (all in terms of 10yr yields), but all of those would-be ceilings quickly gave way to more weakness. 1.75% is now singing the same tune. While it’s true that odds improve slightly with each new ceiling, it’s also true that we’d need to see better and more sustained gains before getting too optimistic about a more significant reprieve. Econ Data / Events Fed MBS Buying 10am, 1130am, 1pm Market Movement Recap 08:39 AM Bonds moderately stronger out of the gate during Asian hours with some buzz over Turkey’s Erdogan firing the country’s central bank chief. 10yr yields were down roughly…(read more)
