March 4th Mortgage Market Wrap-up 5

Mortgage backed securities (MBS) closed down a whopping 53 basis points today at 104.50 having crashed through support offered at the 104.81 level and the 25 day moving average.  the large red candle stick shows that the 4.0 coupon bond closed at its lowest level of the day.  As we know from previous sell-offs that bodes poorly for tomorrow's trading.  The 30 year fixed remained at 4.50%.