Posted To: MBS Commentary
Weekend News Cycle Hurts Stocks, Helps Bonds Whether it’s bothersome restrictions domestically or more emergent situations overseas, omicron news dealt a blow to equities markets today and drove a moderate rally in safer havens. As such, the Treasury market did well, and MBS rode those coattails in uneventful fashion. The moves were perhaps a bit bigger than they otherwise might have been due to a lower volume profile typical of December Mondays. The bigger volatility revelations remain tied to Wednesday’s Fed announcement. Econ Data / Events Fed MBS Buying 10am, 11:30am, 1pm Market Movement Recap 08:32 AM Modestly stronger overnight. Weaker open in Asia, then steady gains throughout. 10yr down 1.2bps at 1.47%. MBS up 2 ticks (0.06). 11:28 AM Additional gains as bond yields follow stocks…(read more)
