MBS ALERT: Initial Reaction To Auction Is Negative
By:
Matthew Graham
•
Savvy, ahead-of-the-curve type lenders may reprice for the worse here. The auction results are apparently not quite what the markets were expecting. Tsy's and MBS selling off with a vengeance as MBS now 1 tick down on the day all across the board. 10yr tsy heading to 3.5. If it gets a bounce there, we could squeek by today, but so far, no so good. Lock accordingly...