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Negative Reprice Risk Increasing

Fannie 3.5s are down a quick 5 ticks and 10yr yields are spiking moderately, up to 2.308 from 2.28 in short order.  This puts us at risk for negative reprices from the early/aggressive lenders.  Because prices had been relatively stable so far this morning, reprice risk will increase incrementally with each tick lower.

MBS / Treasury Market Data

UMBS 5.5
98.51
+0.16
UMBS 6.0
100.16
+0.11
UMBS 6.5
101.65
+0.16
2 YR
4.8157
-0.0127
10 YR
4.4453
-0.0406
Pricing as of: 5/7 9:22AM EST
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