Look at the pretty mirror!
MBS prices are falling and TSY yields are higher. Or is it TSY yields are higher and MBS prices are lower?
The FN 4.0 is -0-29 at 97-19 and the FN 4.5 is -0-18 at 100-21. NEW LOWS OF THE DAY. Mortgage servicers selling as yield curve steepens. MBS yield spreads wider.
I have seen scattered reprices for the worse. Two from major lenders, one from a mid-sized regional. When the dominoes start to fall....
I am watching the market but I am not really too focused on it to be honest. More or less I have decided to use this time to catch up on a lengthy "to do" list of readings and writings.
MORE REPRICES FOR THE WORSE TO COME.
The 2s/10s spreads is in "call Guinness" territory at 280bps wide/steep.
The S&P is up 1.19%. Oil is down 1.14%. Gold is $21 cheaper at $1096...
Tomorrow promises to be busier!