Posted To: MBS Commentary
It's that time again folks… Another year of fun in the MBS market draws to a close and we are left with but a few trading sessions between now and 2010, and even those sessions can't promise any meaningful participation or movement. We don't want to tell you to tune out for the rest of the year, but–well actually we DO WANT to tell you that, but instead we'll tell you that you can tune out as long as the market is doing what it's doing this week. And what's it doing this week? Trading in volatile swings amidst ever-decreasing volume. The net effect is this: there's no way for us or anyone to know what the real story is in bonds this week. There's not enough participation to constitute a quorum among price movers. And so it is that the same VWAP chart we discussed…(read more)
Popularity: 10% [?]