Next week kicks off Monday with Personal Incomes and Outlays at 830am. There's also Fed-Speak from Dudley and Rosengren 830am and 845am respectively. Chicago PMI comes in at 945am, followed by Pending Home sales at 10am. It's also the 28th, and thus the last day of the month, which can add some support to the bond market with month-end index buying. The rest of the week includes the following notable economic data and Fed speakers: Bernanke, ISM manufacturing and Construction Spending on Tuesday. ADP employment, Beige Book, Fed's Lockhart and more Bernanke on Wednesday, Jobles Claims, Productivity/Costs, Auction announcements, ISM Non-Manufacturing and Kocherlakota on Thursday, and Finally, the grand-daddy of em all, NFP at 830am on Friday with Factory Orders in tow at 10am.

With an hour and a half left of MBS trading, FNCL 4.5's are at their highs of the day, currently 101-27. 10yr treasuries are near their best levels as well at 3.42. Stocks have stagnated with the S&P continuing to refuse a break above 1320, currently at 1318.24. Any remaining lenders still on morning rate sheets are more and more likely to reprice for the better as the day winds down, although lenders pricing after 11:15 eastern may not be on this bandwagon.

Treasuries will get their official daily mark at 3pm for long term charts, and while it won't have technically broken any milestone, it does do one thing for us: it's another day without a reversal of what seems to be the current prevailing sentiment: longer term trends may be shifting for bonds. There is a lot left to be proven in days and weeks ahead, but 3.424 in 10yr notes is currently on the cusp of breaking back into the previous bullish trend from December. FNCL 4.5 MBS are in their own world this afternoon and apparently have not been told there are prices outside 101-25 and 101-27 as they've held that range since shortly after 11am. Volume is nil, and volatility close to nil. Reprices for the better continue to be a possibility.

After hitting 3.44, 10yr notes made a noticeable support bounce lower to 3.43. Meanwhile FNCL 4.5's ticked up from 101-26 to 101-27, maintaining their tight range and increasing possibilities for reprices for the better from lenders who have not yet repriced today. Stocks had been pushing higher and higher, already at the highs of the day, but the S&P looks to have second thoughts about breaking through 1320. Volume is light. Cruise control into the weekend until further notice.

Just before 11:30am, FNCL 4.5's hit their best levels in nearly a month at 101-27 and have held in a tight range between there and 101-25 since. 10yr notes experienced a similarly strong rally, finally meeting resistance at 3.418. They're currently at 3.427. Stocks initially fell during this time, but have since rebounded in line with previous levels at 1317. There's little by the way of data left to drive trading today, and volume was low, even at resistance points. Any ongoing stability in MBS prices near these levels should hearken additional reprices for the better from lenders who haven't released them yet.

Loan pricing is basically unchanged today. On average, C30 rebate is less than one basis point worse. Rate sheets influential MBS prices have however improved since the five major lenders published. If production MBS coupon prices continue to improve, we may see reprices for the better. 4.875% is still "Best Execution" and likely will be until the FNCL 4.0 crosses into the 101-00 price handle. Consider that in your lock/float decision making process.

FNCL 4.5's have made a bee-line for fresh highs at 101-26. 10yr notes ate at their best levels of the day at 3.427. Reprices for the better are an increasing possibility and the "early crowd" lenders should be coming across soon.

For lenders who are already out with rate sheets today, reprices for the better are a possibility on recent MBS gains to 101-24 in 4.5's. But in most cases, it's still a bit early for that, and some lenders may need further gains before repricing though. Benchmark 10's are currently doing well with respect to their pivot point at 3.45, right now at 3.442.