- Atlanta Fed's Lockhart says hikes could come as soon as April
- Bond markets weaken in response
- Fannie 3.0s briefly touch new lows
- 10yr yields still holding 1.92% support (ceiling)
This is effectively an addendum to the morning's original alert to let you know that MBS prices briefly exceeded the lows that prompted that alert. We're still not in a situation where most lenders will have seen enough of
Risks would increase somewhat if MBS break firmly into new lows, but that still wouldn't involve many lenders at current levels. It would take a break of support in 10yr yields (at 1.924) before negative reprice risk became more widespread.