Mortgage bond prices remain lower Tuesday morning adding to the losses seen Monday afternoon. Rates remain under pressure as mortgage companies sell bonds to cover locked borrowers. Thin trading conditions are adding to the pressure.
In news released this morning, consumer confidence stood at 50.2. Traders were expecting confidence at 49.00. This data was not bond friendly.
With no more news set for release today, traders will watch stocks as they await the outcome of the Treasury auction of $35B in 2-year notes. Results are expected by 1:15 pm ET.