Stocks add to gains, but MBS not yet convinced...

It looks like it will take more than a 60 point rise in the DJIA to cause enough selling in MBS to worry about.  As the index has risen, we have some selling in bonds, but only a tick or two.  MBS 6.0's are still holding the 101-00 level.

Still, lenders are unwilling to share the same portion of that spread with us as they normally do.  So we will wait until they do or until we're forced off the table by falling prices.  Keep on keeping an eye on the five year treasury for preliminary indication of a rate change.