UP TO THE MINUTE UPDATE ............................................. 10:06 PST

Some lenders are repricing for the worse possibly a preemptive move against bad news for Bond Insurers hitting the news currently.  Whatever the case, bonds are holding steady, to slightly improved.

5.0%  =  +12/32

5.5% =     +8/32

 (as always, these are total improvements on the day)

So I would expect for lenders that have repriced to come back into the market by the end of the day, unless MBS's drop off.