Wednesday, October 4, 2023 |
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MANAGING DIRECTOR: |
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US Treasury Market |
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| Date | 1 mo | 3 mo | 6 mo | 1 yr | 2 yr | 3 yr | 5 yr | 7 yr | 10 yr | 20 yr | 30 yr |
| 09/27/23 | 5.39 | 5.48 | 5.56 | 5.48 | 5.13 | 4.89 | 4.68 | 4.68 | 4.60 | 4.91 | 4.72 |
| 09/28/23 | 5.38 | 5.46 | 5.54 | 5.46 | 5.05 | 4.81 | 4.62 | 4.63 | 4.57 | 4.90 | 4.70 |
| 09/29/23 | 5.37 | 5.45 | 5.55 | 5.46 | 5.05 | 4.80 | 4.61 | 4.62 | 4.57 | 4.90 | 4.70 |
| 10/02/23 | 5.39 | 5.47 | 5.57 | 5.50 | 5.11 | 4.88 | 4.71 | 4.72 | 4.68 | 5.00 | 4.79 |
| 10/03/23 | 5.38 | 5.50 | 5.58 | 5.49 | 5.15 | 4.90 | 4.80 | 4.83 | 4.80 | 5.12 | 4.92 |
The data in the table above is static as of the time it was pulled, so rates may have changed. Treat all data in this table and PMR as indications only and availability is always subject to change. This information was pulled manually from sources we believe to be reliable. New source, as of 12/12/2022, Bloomberg, L.L.P. As of: close of business 10/03/2023.
Fixed Rate MBS Opportunities
As the US Treasury market continues to sell off, we believe yields and spreads on Agency Fixed MBS are becoming more and more attractive.
In the 30yr sector, 6.00% plus yields with well over 130 basis points (bps) of spread are available in the BASE scenario starting with 5.50% coupons and 96 handle dollar prices. Yields for 30yr 5.50% decrease slightly and WALs extend in the +300 scenario. Yields increase and WALs contract in the -100 bp scenario.
30 year 6.00% coupons also offer 6% plus yields at discount prices.
30 year 6.50% coupons are at slight premium prices, but offer yields in the BASE scenario of 6.38% to 6.47%. Yields for 6.50% increase +300 and decrease -100.
6.00% yields are also available at discount dollar prices in 20yr 5.50% and 6.00% with shorter WAL’s at BASE than the 30yr product.
Shorter duration options are attractive in the 10yr and 15yr sector as well, with yields ranging from 5.56% to 5.73% for pools offered at slight discounts.
To find the Fixed MBS product that best fits your risk tolerance and interest rate bias, please contact your Country Club Bank Capital Markets Group Sales Person. Thank You
In the 30yr sector, 6.00% plus yields with well over 130 basis points (bps) of spread are available in the BASE scenario starting with 5.50% coupons and 96 handle dollar prices. Yields for 30yr 5.50% decrease slightly and WALs extend in the +300 scenario. Yields increase and WALs contract in the -100 bp scenario.
30 year 6.00% coupons also offer 6% plus yields at discount prices.
30 year 6.50% coupons are at slight premium prices, but offer yields in the BASE scenario of 6.38% to 6.47%. Yields for 6.50% increase +300 and decrease -100.
6.00% yields are also available at discount dollar prices in 20yr 5.50% and 6.00% with shorter WAL’s at BASE than the 30yr product.
Shorter duration options are attractive in the 10yr and 15yr sector as well, with yields ranging from 5.56% to 5.73% for pools offered at slight discounts.
To find the Fixed MBS product that best fits your risk tolerance and interest rate bias, please contact your Country Club Bank Capital Markets Group Sales Person. Thank You
This information is intended for institutional investors only. The material provided in this document/presentation is for informational purposes only and is intended solely for private use. Past performance is not indicative of future results. This material is not intended as an offer or solicitation for the purchase or sale of any financial instruments.
•Not FDIC Insured •No Bank Guarantee •May Lose Value