US bond markets were completely done moving by the time the domestic session began.  Case in point, 10yr yields ended the day at 1.473, exactly the same level seen at the 8:20am CME open.  You'll notice this is technically much better than yesterday's closing levels, around 1.51, and refreshingly better than yesterday's highs of 1.53.  All that having been said, it would have been much more refreshing to see a bit more commitment to the idea of heading back in the other direction.  As it stands, we can't really tell if we're looking at a floor or a ceiling in today's trading range.

2016-7-13 Floor ceiling

This is a bit beside the point, however, for two reasons.  First of all, it wouldn't be too much of a surprise to see some indecision ahead of tomorrow's Bank of England announcement.  Everyone figures they'll do "something," but traders tend not to get too carried away until they know exactly what that might be.  Then there's the matter of oxygen.  A long-term rally needs to come up for air from time to time, and the last two days of weakness don't look like quite enough air to justify another aggressive push down into all time low rates.  As such, muddling around in the current territory (or even giving up some ground) would probably be healthier in the long run, as blasphemous as that may sound today.


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
103-25 : +0-05
Treasuries
10 YR
1.4730 : -0.0400
Pricing as of 7/13/16 6:03PMEST

Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
10:59AM  :  Holding Decent Overnight Gains For Now

MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Victor Burek  :  "and supply is done"
benjamin levin  :  "better then an f"
Matthew Graham  :  "B+"
Matthew Graham  :  "RTRS - U.S. 29-YEAR 10-MONTH BOND BID-TO-COVER RATIO 2.48, NON-COMP BIDS $3.09 MLN"
Matthew Graham  :  "RTRS - U.S. SELLS $12 BLN 29-YEAR 10-MONTH BONDS AT HIGH YIELD 2.172 PCT, AWARDS 93.96 PCT OF BIDS AT HIGH"
Matthew Graham  :  "30yr auction preview: 30's have been mixed in terms of where the yield comes in relative to the 1pm when-issued levels (currently 2.176 and falling). Bid to cover run between 2.3 and 2.4 recently for today's type of auction (reopening). Indirect bidders average between 60 and 65 percent."