Tight trading range is holding on this first day of Q2 2009...mortgage banker selling has steadily increased throughout the day. Originators locking in pipeline profits are doing so at MBS price highs which implies lenders will have the ability to pass along some MBS gains to rate sheets in the future. I am sure many of you will however have some interesting thoughts regarding their willingness to do so...

FN30_______________________________

FN 4.0 -------->>>> -0-02 to 100-16 from 100-18

FN 4.5 -------->>>> -0-01 to 102-04  from 102-05

FN 5.0 -------->>>> -0-01 to 103-05 from 103-06

FN 5.5 -------->>>> +0-00 to 103-25 from 103-25

FN 6.0 -------->>>> +0-01 to 104-15 from 104-14

GN30_________________________________

GN 4.0 -------->>>> +0-01 to 100-22  from 100-21

GN 4.5 -------->>>> +0-03 to 102-10 from 102-07

GN 5.0 -------->>>> +0-01 to 103-23 from 103-22

GN 5.5 -------->>>> +0-02 to 104-04 from 104-02

GN 6.0 -------->>>> +0-02 to 104-17 from 104-15

Mark your calender....The Federal Reserve has announced a tentative schedule of Treasury Security Purchases

Dont miss Bill Berliner's Weekly Post later this afternoon. Here is last weeks in case you missed it.....ARM Resets