Stocks and bond yields are still in holding patterns relative to early June volatility.  Meanwhile, mortgage rates are at all-time lows.  There are scenarios where rates could improve, but the base case is quite the opposite.  All of the above depends on coronavirus.

Econ Data / Events

  • 11:30-11:50 AM (ET) – Fed 30yr UMBS Buying  

  • Pending Home Sales: +44.3% vs +18.9% f’cast (-21.8% prev)

Market Movement Recap

07:50 AM

No major news overnight. 10yr yields up 1.3bps to .653.  UMBS starting the day down 3 ticks (0.09).  Stocks up half a percent (futures).  

10:29 AM

Stocks slumped a bit at the 9:30am  NYSE open.  Bonds improved at the same time and are holding those gains even though stocks have bounced back.  MBS and Treasuries both now just barely positive on the day.

01:16 PM

MBS and Treasuries pulled back from slightly from the mornings modest gains.  Stocks are up on the day now and there’s some correlation with bond weakness (but not as much as there has been).  10yr yields up half a bp at .645% and UMBS 2.0 are down 2 ticks (0.06) at 102-07 (102.22).

02:55 PM

Bonds have shaken off mid-day weakness and are back to unchanged (or better) levels.   Stocks are still moderately stronger on the day.  No big news or market movers.  Very sideways in the bigger picture.


MBS Pricing Snapshot

Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.

MBS

UMBS 2.0

102-09 : +0-00

Treasuries

10 YR

0.6380 : +0.0000

Pricing as of 6/29/20 2:57PMEST

Today’s Reprice Alerts and Updates

12:58PM  :  Some Weakness After a Morning Rally

8:26AM  :  Modestly Weaker Overnight, But Still In The Zone


Economic Calendar

Time Event Period Actual Forecast Prior
Monday, Jun 29
10:00 Pending Sales Index May 99.6 69.0
10:00 Pending Home Sales (%) May +44.3 18.9 -21.8
Tuesday, Jun 30
9:00 CaseShiller 20 yy (% ) Apr 4.0 3.9
9:45 Chicago PMI * Jun 45.0 32.3
10:00 Consumer confidence * Jun 91.8 86.6

By Matthew Graham , dated 2020-06-29 14:59:31

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Courtesy of Mortgage News Daily

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