Posted To: MBS Commentary
When global financial markets are convulsing with uncertainty and anticipation, where can you find a safe, liquid place to park your money? One of the best, and most frequently repeated answers to that question today was: US Treasuries. 5yr Notes were the biggest winner, but 10yr Notes weren’t far behind, rallying nearly 15bps . As is normally the case during massive flights-to-safety, MBS lagged the move in Treasuries, but nonetheless were dragged up to their best closing levels in more than 20 months (Fannie 3.0s at 103-10!). Today’s volatility was kicked off by a completely unexpected and intensely interesting move on the part of the Swiss National Bank. Almost any google-able article can tell you all about it. Here’s one with some additional color from market participants: Swiss…(read more)
Via:: MBS RECAP: US Bond Markets Run the Table and Make it Look Easy
