With no significant bond market volatility in response to this week’s Fed announcement.  The question of “where do we go now” remains.  The answer remains as well.  Until further notice, it’s “sideways!”

Market Movement Recap

08:20 AM

Bonds were mostly flat during Asian hours but rallied during European hours to hit the domestic session in slightly stronger territory.  10yr yields are down 1.6bps at .672 and 2.0 UMBS are up 1 tick at 102.98.  Stocks are flat.

01:44 PM

AM weakness in MBS subsided by noon.  Treasury yields managed to find a ceiling without moving too far into negative territory.  Both sides of the market are now positive again with some support from stock market weakness.


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

102-28 : -0-03

Treasuries

10 YR

0.6970 : +0.0150

Pricing as of 9/18/20 5:29PMEST

Today’s Reprice Alerts and Updates

2:36PM  :  ALERT ISSUED: Negative Reprice Risk Increasing

11:43AM  :  ALERT ISSUED: Negative Reprice Risk Increasing For Some Lenders

10:42AM  :  ALERT ISSUED: Bonds at Weakest Levels After Bullard


Economic Calendar

Time Event Period Actual Forecast Prior
Friday, Sep 18
10:00 5yr Inflation Outlook (%) Sep 2.6 2.7
10:00 Consumer Sentiment Sep 78.9 75.0 74.1
10:00 1yr Inflation Outlook (%) Sep 2.7 3.1
Tuesday, Sep 22
10:00 Existing home sales (ml)* Aug 6.00 5.86
10:00 Exist. home sales % chg (%)* Aug 2.4 24.7

By Matthew Graham , dated 2020-09-18 17:30:58

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Courtesy of Mortgage News Daily

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