Well, when I coined the term "Green Monday" this morning, even I thought a 2 point improvement was a slim chance, yet here it is. We are 5 ticks away from the proverbial January 23rd levels. people just can't buy 'em fast enough.
If these prices hold, 5.0's would shortly become your new current coupon.
Currently 5.5's are at 101-16
5.0's are at 99-17
6.0's are at 102-22
It'll take time for lenders to price this all in. Locking makes little sense unless you are simply tired of sitting at the table. No one could blame you for hitting the "deal" button and taking your couple hundred grand. The rest of us are playing for the million.
Wasn't there some guy around here the other day that said "money moved to the sidelines?"
Well, with the 10 year treasury nearing unchanged, Stocks up big, MBS up big, we have our proof of that and more.
Always remember Green Monday. Remember where you were. Day's like this don't come around too often.