December 5th, 2016
Commentary 2:05 PM Today's 3.5% MBS low was $102.28 below S1 ($102.47). We are now trading at $102.62 above S1. This may be a good sign for the future of rates. As you may know I tend to look at the glass half full.
What Is Going On With Interest Rates? #wigowir
Below is the news when it happened and the market’s reaction. For a full view of the day start at the bottom and work your way up. If want to know what just happened start at the top. All Times are Eastern Standard Time. When the price of Mortgage Backed Securities (MBS) goes down rates go up, and when the price goes up rates come down. Remember in the bond market Bad News is Good News and Good News is Bad news.
10:48 AM MBS able to bounce off the early session lows.
10:23 AM The MBA reports that credit availability increased further in November.
10:03 AM The Dow sets a record high of 19,274 led by surging bank shares.
10:01 AM ISM Services 57.2 in November vs 55.6 expected and above the 54.8 in October. Bond prices edge lower after the news.
9:35 AM Stocks open higher.
9:04 AM ISM Services will be released at 10:00 a.m. ET.
9:03 AM U.S. dollar index 100.63, -0.23.
9:02 AM WTI oil $52.07/barrel, +$0.38.
8:59 AM 10-yr T Note rises to 2.43%.
8:54 AM MBS open lower after the Italian referendum suffered a defeat. Stock futures higher.