MBS ALERT: Selling Into Strength. REPRICES POSSIBLE

By: • Fri, Oct 2 2009, 10:28 AM

The sustained rally one would expect to occur after weak labor market data....took place yesterday. The knee jerk rally that took place this morning after the NFP print...has been erased.

After hitting an intraday high of 102-07, the expensive FN 4.5 has fallen all the way down to 101-22.....

LENDERS WHO PRICED EARLY THIS MORNING MAY REPRICE FOR THE WORSE...