MBS Live: MBS Morning Market Summary
Although the overnight session was generally devoid of major market moving events, bond markets moved weaker nonetheless.  We dug our heels in at the open, holding ground in line with Friday's lowest levels between 104-10 and 104-14 in Fannie 3.0s, and are currently on the higher side of that range.  10yr yields held their ground first at 1.815 and then again at 1.808 at the turn of the hour while stock markets languish sideways to weaker.  Today is the emptiest day of the week in terms of scheduled data and events though there are numerous earnings reports and a reasonably active European headline mill.  The emptiness may result in bond markets paying a bit of extra attention to the broader "risk on vs risk off" trade, and as such, should be more connected than usual to stocks.
MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
FNMA 3.0
104-14 : -0-04
FNMA 3.5
106-07 : -0-02
FNMA 4.0
106-30 : -0-03
FNMA 4.5
107-27 : -0-02
GNMA 3.0
105-28 : -0-05
GNMA 3.5
108-11 : -0-03
GNMA 4.0
109-04 : -0-04
GNMA 4.5
108-24 : -0-02
FHLMC 3.0
104-08 : -0-05
FHLMC 3.5
105-32 : -0-02
FHLMC 4.0
106-17 : -0-03
FHLMC 4.5
107-06 : -0-02
Pricing as of 11:09 AM EST
Morning Reprice Alerts and Updates
Below is a recap of instant Reprice Alerts and updates issued via email and text alert to MBS Live subscribers this morning.
9:52AM  :  ALERT ISSUED: Bond Markets Bouncing Back After Opening In Weaker Territory
Treasuries moved higher in yield overnight as global markets made a generally corrective move from Friday's "risk-off" trade. 10yr yields moved from the mid 1.76's to 1.81 by the start of the domestic session while S&P futures rallied nearly 10 points from their lows.

The overnight weakness ushered MBS in the door in line with Friday's lows around 104-12 in Fannie 3.0s. The outright low was 104-10, with more trading taking place between 104-11 and 104-14.

Since hitting the weakest levels at 8:30am, both Treasuries and MBS are bouncing back somewhat. 10yr yields are back to 1.794 and Fannie 3.0s are back up to 104-16, representing only a 3 tick difference from Friday's latest levels.

There are no significant data or events scheduled today though there is scheduled "Twist" buying at 10:15-11:00 in the 25-30yr maturity range and Fed speak from Pianalto at 1:30pm.
Live Chat Featured Comments
A recap of the featured comments from the MBS Live Dashboard's Live Chat feature, utilized by hundreds of industry professionals each day.
Matt Hodges  :  "every one i've encountered was been f/c"
Scott Valins  :  "are they only initiating buybacks on non-performing loans?"
Jason Harris  :  "The biggest boon for this indutsry would be to put a stop to the buybacks for anything prior to 2009. The whole industry was a mess and it seems arbitrary to come back one a onesy twosey basis "
Matt Hodges  :  "that's why i got out of broker world, terry - 50% of my time on compliance, regulations, payroll, etc."
Terry Colabrese  :  "Indeed, Hodgy. The problem is we need our backoffice people to have another item on their plate to watch for, which has huge repercussions, potentially. If I'm working hard to drive sales, I can't be paying attention to that stuff."
Andy Pada  :  "Bankers are being required to repurchase as well. Repurchase/Buybacks is one of the top issues here at Chicago MBA convention."
Matt Hodges  :  "i've successfully fought 4-5 buyback requests from my broker days. In EVERY occasion it was the lender's issue for not checking verbal in last few days or another of their responsibilities. Keeping clean files is key, Terry."
Terry Colabrese  :  "RW, my partner and I saw this buyback stuff was going to be an issue 1.5 years ago. We closed our shop as the result and went to work for Banks. I hate to say it, but this is going to be one of the ways Brokers will be pushed out of business. it will shrink competition significantly in our industry. E&O won't bail him out, either. Yikes, this is not good news!!"
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