Jobs data was "as expected". Treasuries and MBS are selling following the news.

So far MBS trading is quiet (thin flows). I know you are trained to scorn a selloff...however in this case, given the need for cheaper dollar prices, you should ignore your previous prejudices and welcome some much needed consolidation. It will serve to allow real money market participants to vacate some of their "up in coupon" positions in favor of cheaper and longer prepay protected cash flows. Yield spreads tighter into the uptick as usual.

FN30_______________________________

FN 4.0 -------->>>> -0-04 to 100-01 from 100-05

FN 4.5 -------->>>> -0-05 to 101-23  from 101-28

FN 5.0 -------->>>> -0-02 to 102-31 from 103-01

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

FN 6.0 -------->>>> +0-00 to 104-15 from 104-15

GN30______________________________

GN 4.0 -------->>>> -0-01 to 100-08  from 100-09

GN 4.5 -------->>>> -0-04 to 101-28 from 102-00

GN 5.0 -------->>>> +0-00 to 103-18  from 103-18

GN 5.5 -------->>>> +0-00 to 104-02 from 104-02

GN 6.0 -------->>>> -0-01 to 104-17from 104-18