Mortgage Market Commentary

Mortgage Market Commentary

Mortgage backed securities prices are lower (rates higher) this morning as stocks rose around the world and traders increased concern supply is overwhelming demand leading to higher rates. FNMA 4.5% coupon 100.55bps, down 20bps and the low of the session. U.S. service sector shrank further in February as job losses sapped consumer confidence and spending. The service sector represents about 80% of U.S. economic activity. The Mortgage Bankers Association weekly purchase index fell 6% & refinancing index decreased 15% coinciding with 30yr mortgage rates rising above 5%. The Fed's Beige Book will be released at 11am pt.