Today's session ended up being much like last Thursday's in that a narrow trading range persisted all day and never made a convincing attempt to move higher or lower.  Unlike last Thursday, however, today's levels were the best of the past two weeks. 

There's no compelling reason for this to be the case--at least not one singular reason.  There could be a team effort among factors like European bond market strength and quarter-end trading goals.  Or the recent strength could be as simple as a reaction to the fast pace of the recent weakness.  In other words, it could just be a correction (as opposed to a reversal).  We haven't really seen enough evidence in either direction to conclude one way or the other.

One thing we haven't had to wonder about is whether or not markets are intensely interested in domestic economic data.  They're not.  It continues to come and go with little discernible connection to trading levels.  This morning's Existing Home Sales data isn't the best example, because it was fairly close to consensus, but even so, there was no reaction.  Case in point, bond markets were flat from 10am to 10:10am and only after that did they begin to improve into the noon hour.


MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
MBS
FNMA 3.0
98-06 : +0-00
FNMA 3.5
101-31 : +0-05
FNMA 4.0
105-05 : +0-03
Treasuries
2 YR
0.5530 : -0.0200
10 YR
2.5650 : -0.0220
30 YR
3.2870 : -0.0130
Pricing as of 9/22/14 5:35PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
9:33AM  :  Bond Markets Slightly Stronger Overnight; Holding Gains So Far

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Jeff Anderson  :  "Yes, Jay. We have. I logged out and back in and working much better on Encompass."
Ben Biscoe  :  "Ellie Mae has updated their Status Center to report Latency concerns, which are impacting multiple clients. Reports have been received of lag times, specifically while opening and saving loans. We will continue to provide updates as the status changes. "
Timothy Baron  :  "there was an update over the weekend."
Jay Rodriguez  :  "Anyone else having a sluggish Encompass today?"
Jason Anker  :  "sounds like a portfolio deal BB"
Ben Biscoe  :  "anyone know of any lender that will do 80% ltv on investment property purchase when the borrower owns 5-10 financed properties. fannie is capped at 75% and freddie is capped at 4 properties. "
Oliver Orlicki  :  "advancial "
Steven Koerner  :  "Anyone have an outlet for a second home asset depletion program not through Bank of the Internet? 600k PP and 417 LA in FL. "