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Reprice Risk Increasing

MBS are down several more ticks from the previous lows as bond markets are broadly struggling with liquidity this afternoon.  Everything is relative, of course, as 2.5 UMBS are still in the high 103's (103-26 or 103.81 currnetly).  This is roughly a quarter of a point below the morning's highs.  

Negative reprices are now a more legitimate possibility.  

MBS / Treasury Market Data

UMBS 5.5
98.72
+0.25
UMBS 6.0
100.39
+0.19
UMBS 6.5
101.81
+0.11
2 YR
4.7163
-0.0249
10 YR
4.3602
-0.0724
Pricing as of: 7/3 5:59PM EST
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