The stock lever is exerting originator unfriendly pressures on benchmark Treasuries today.

As stocks recover from last Friday's sell-off, investors have unwound flight to safety positions and reallocated funds into riskier assets. This has pushed TSY yields higher and moved "rate sheet influential" MBS prices to intraday lows.

Among the five major lenders, conventional 30 year fixed loan pricing is on average 11.3bps better today. The largest rebate improvements are seen in the note rates used to fill 4.0 MBS trades (4.375 to 4.75%). Our reprice for the worse target is still 102-05, but we caution....With loan pricing marginally better and day over day MBS changes now in the red, some lenders may be quicker to reprice for the worse than others.

102-08 support is holding for now, but BEWARE...if stocks extend their rally, reprices for the worse will become more likely.  If you were an MBSonMND subscriber you would have heard this almost three hours ago.