Fed Minutes Today at 2pm EST

Follow the markets live as the Fed Minutes are released at 2pm EST today.

It’s Fed Day. Are you ready?

If you’ve been following the MBS Commentary, you know what a big deal this afternoon could be. Markets have been preparing for it for weeks and MBS Live members have been on top of those movements every step of the way.

This afternoon, when markets are convulsing mere milliseconds after the Fed Announcement, MBS Live members will know what’s going on before anyone else. The accuracy and speed of our real-time price stream and alerts is unmatched.



MBS RECAP: Decent Day Despite Lukewarm Treasury Auction. Dovish Fed Helps

This morning’s weaker Durable Goods data had no effect on trading levels.  At the time, bonds were in the process of moving up in yield after a decent little overnight rally, and the selling pressure continued until 9:30am.  After drifting sideways for a few hours, a tepid 5yr Treasury auction failed to spook bond traders.  Tentative gains followed with help from fairly dovish Fed speakers and mild slump in stocks.   All told, another good day in building a case for support, but still not enough to rest easy.

Econ Data / Events

  • Fed MBS Buying 10am, 1130am, 1pm

  • Durable Goods -1.1 vs 0.8 f’cast, 3.5 prev
    Core Cap-Ex    -0.8 vs 0.5 f’cast, 0.6 prev

Market Movement Recap

08:21 AM

Bonds opened stronger in Asia and rallied heading into European hours.  10yr yields hit 1.59% before bouncing.  The general tug-o-war was between fresh lockdown fears (global) and stronger econ data in Europe, as well as pre-auction hesitation in Treasuries.  MBS are starting the day down 2 ticks (0.06), but that’s a solid showing considering yesterday’s closing levels.

09:28 AM

Paradoxical upward pressure on yields since 9am.  Hedge funds were better sellers, based on the expectation that dealers would lighten up ahead of this afternoon’s Treasury auction.  Dealers then sold as expected.  Traders are taking baby steps due to uncertainty over quarter-end rebalancing among managed funds.  MBS and Treasuries are now in negative territory on the day (10yr up 3 bps and MBS down almost an eight).

01:10 PM

5yr auction was acceptable but not great.  Bonds are little-changed in response with 10yr yields up just under 2bps higher on the day at 1.64%.  UMBS are outperforming with 2.5 coupons up 1 tick on the day.

03:04 PM

Best levels of the day now with a little flurry of buying at the 3pm CME close.  10yr is down 1bp on the day at 1.612% and 2.0 UMBS are up 2 ticks (.06) trading just under 103.0.  


About the Author


Chief Operating Officer,
Mortgage News Daily / MBS Live

A former originator, Matthew began writing for Mortgage News Daily in 2007, covering a wide range of topics. Seeing a need in the marketplace, his focus increasingly shifted toward relating MBS and broader financial markets for loan originators.

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By Matthew Graham , dated 2021-03-24 15:44:53

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Courtesy of Mortgage News Daily

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