Posted To: MBS CommentaryThe best way to look at today is as a more sober attempt to hold the lowest yields in more than 3 weeks . The only day that’s ended any better for bonds during that time is yesterday–an arguably more emotional example of forced buying stemming from a big, nasty sell-off in the stock market. In contrast, stocks spend the entirety of today’s trading session in better shape than yesterday afternoon. At times, they’d even recovered a majority of the ground lost over the past 24 hours. But even at those times, bonds weren’t panicking. Were bonds in weaker territory? Sure ! But they weren’t panicking. 10yr yields never went higher than 3.145 and they ended the session at 3.126. MBS had an even better day, finally turning the tables on Treasuries’ recent outperformance (not…(read more)Forward this article via email: Send a copy of this story to someone you know that may want to read it.
Michael Ayoub, Author NMLS ID 6631