Following a better than expected Pending Homes Sales print (+3.6% vs. expected +0.6%), the 10yr TSY note yield rose 7 bps from 3.58 to 3.65. Consequently the "rate sheet influential" FN 4.5 MBS coupon, which was already under some selling pressure after reaching an intraday high of 100-09, fell to 99-30....the low of the day.
If your lender has already priced...they may recall rate sheet sheets. If your lender has not published rate sheets, your pricing may be delayed until the rates market stabilizes. Either way mortgage rates will tick higher this morning.
If the 10 yr breaks through 3.65 support (116-03 on SEPT 10YR Futures)...expect "rate sheet influential" MBS prices to tick lower