November 10th, 2010 7:04 AM by BILL WILBANKS
Yesterday's mediocre 10 year auction sale helped drive rates higher. In fact we saw an average of 3 rate sheet postings yesterday as lenders scrambled to cover the afternoon's jump in the bond. It remains to be seen what today will foretell but we have a relative plate full of morsels to choose from. MBA application number out any moment (read results), unemployment claim numbers due out today instead of the normal Thursday posting due to tomorrow being a national holiday, several lessor important reports today, followed by another bond auction today on the 30 year due out at 1 PM and what kind of CYA position will the market take prior to the one day holiday? Here is a pretty detailed market analysis with charts for those who just can't get enough: Read On.
Note: the pre-opening 10yr is currently up 3.5 bp this morning so far from yesterdays jump by closing.
Update 11:24 AM ET: The 10 year bond has been all over the yard this morning at one point over 2.74% a 9 point swing peak to trough. Currently at 2.7238% prior to the 1 PM auction results on the 30 year offering. Currently lender points appear to be about 0.125% below where they started the day. But you know, I bet there are still folks out there waiting for a 3.875% or even a 3.75% 30 year fixed offering while it currrently sits at 4.25%. Good luck if you can afford to take the risk by waiting for it, I'd love to see it too.