Posted To: MBS Commentary
Unlike yesterday, which had a decent start and crappy conclusion, today’s trading session began with bond markets at their weakest levels in more than 2 weeks, but ended with a strong move back into positive territory. Better yet , the motivation for the latest, strongest move is centered in the Eurozone, which hasn’t even had a chance to react. In other words, most of the positivity at the moment stems from domestic traders anticipating the Eurozone reaction. In these cases, domestic traders tend to undershoot. Bond markets hinted at their willingness to bounce back as they visibly opted to hold technical support during the first half of the day. While MBS and Treasuries were both in negative territory, 10’s respected the 1.84% inflection point and Fannie 3.0s held above 102-20…(read more)
Via:: MBS RECAP: Bonds Brought Back to Positive Territory by Oil and Greek Drama
Share this article
