MBS UPDATE: FOLLOWING TSYs

By: • Tue, Feb 24 2009, 2:52 PM

The stack remains at the mercy of the speculative stock trading strategies. The Dow is on a rally rampage and US Treasury flight to safety positions are being liquidated. Where TSYs go MBS follows (for now at least). Spreads tighter on TSY selling...

255pm marks...

FN30_________________________________

FN 4.5 -------->>>> -0-01 to 100-27 from 100-28

FN 5.0 -------->>>> +0-00 to 101-31 from 101-31

FN 5.5 -------->>>> +0-01 to 102-16 from 102-15

FN 6.0 -------->>>> +0-03 to 103-06 from 103-03

Equity investors believe President Barack Obama will offer up juicy details when he addresses the nation tonight. As one reader pointed out recently....PERCEPTION is half the battle. Considering President Obama's historic campaign and innate ability to utilize pathos as his primary rhetorical tool....he is probably the best member of the Administration to influence national perception.