MBS RECAP: Super Sideways Day, Waiting on Week's Bigger-Ticket Events

By: Matthew Graham •

As has been the case on so many Monday's lately, today would have been better-used as a 3rd day of the weekend.  Fannie 3.0s were 102-09 at their lowest and 102-13 at their highest.  A four tick (or .125) range is about as narrow as it gets for a day of MBS trading.  That said, narrow isn't necessarily bad.  Today's prices happened to be hanging out fairly close to Friday's highs.

Treasuries were in a similarly narrow range, though they came under more threat of weakness earlier in the day.  That had to do with European bond market weakness being the driving force for domestic bond markets.  Treasuries are on the front lines when it comes to the Europe effect, and MBS are more insulated. 

Even then, after European bonds leveled off for the day, so did Treasuries.  From there, after Europe closed, Treasuries rallied back to join MBS in the same "just slightly weaker" territory on the day.  In general, markets continue waiting for Wednesday's FOMC/GDP double header.

MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
MBS
FNMA 3.0
102-10 : -0-04
FNMA 3.5
105-04 : -0-03
FNMA 4.0
107-00 : -0-01
Treasuries
2 YR
0.5250 : +0.0170
10 YR
1.9280 : +0.0141
30 YR
2.6170 : +0.0030
Pricing as of 4/27/15 4:37PMEST
Today's Reprice Alerts and Updates
A recap of Alerts and Updates provided to MBS Live subscribers.
8:55AM  :  Typically Slow Monday Off to Typically Slow Start
MBS Live Chat Highlights
A recap of featured comments from the Live Discussion on the MBS Live Dashboard.
Matthew Graham  :  "I think maybe some of the build-up we've been sensing over FOMC could instead be directed toward GDP--probably not a majority of the importance on Wednesday, but enough to make the morning interesting. "
Matthew Graham  :  "Next week for NFP"
Sung Kim  :  "NFP this friday?"
Jeff Anderson  :  "Definitely more luck with errors or missed comparables that should have been used. The adjustments is going to be a tougher battle, SV."
Ted Rood  :  "I have gotten factual errors corrected, a couple of non- comparable comparables deleted, but never had adjustments changed unless an error was involved (full bath instead of 1/2, etc)"
John Murphy  :  "SV about the only argument there is inconsistencies among comps and/ or dramatic below grade & finish adjustments. Good Luck!"
Ted Rood  :  "are they substantially different than the prior ones you've seen for that area?"
Scott Valins  :  "does anyone ever have luck attacking adjustments on appraisal when rebutting?"