MBS are up +3/32 (FNMA 30-yr 3.5 at 103.08), around 1/32 higher than yesterday at this time.
This morning, investors are waiting for the outcome of today’s Fed meeting. The Dow is down 10 points. Existing Home Sales will be released at 10:00 et. The Fed announcement will come out at 2:00 etand Fed Chair Yellen’s press conference will begin at 2:30. Investors widely expect the Fed to announce that it will soon begin to reduce the quantity of Treasury and mortgage securities on its balance sheet. Any information about the pace of future rate hikes might have a greater impact on MBS.