Overnight market movement was once again most visibly affected by headlines relating to the situation in Ukraine. This time around it was a speech by Putin before a joint session of Russian Parliament. Overnight gains quickly evaporated, resulting in flat opening ranges for both Treasuries and MBS.
Housing Starts and Consumer Prices both came in close to forecasts. The only meaningful departure from the consensus was in the stronger-than-expected Building Permits tally, but that means much less when you consider all the strength was in multifamily permits while Single-Family permits actually decreased.
Most recently, vague newswires regarding gunfire at a Ukrainian Army installation in Crimea helped bond markets improve into the noon hour. This leaves MBS roughly an eighth of a point higher than yesterday’s low afternoon range, but not yet back to yesterday morning’s levels.