Trumps Rampage GOOD for Interest Rates
MBS are up +5/32 (FNMA 30-yr 3.5 at 103.11), around 3/32 higher than yesterday at this time.
Yesterday, investors grew more optimistic that President Trump would work with Congress to pass pro-growth legislation, and it was negative for MBS. Comments from Trump about NAFTA and a border wall have caused sentiment to reverse today, and MBS have recovered yesterday’s losses. The Dow is down 75 points. New Home Sales will be released at 10:00 et.