Today's Auction Results Will Weigh On Fixed Rates

16 Billion dollars in 30-yr Bonds went up for auction today at 1:00pm Eastern. Results weren't good. Mortgage Backed Securities are starting to fall. We are hoping to stay above the level of support at the 200 day moving average. I would advise our clients to the possibility of locking, depending on the close of escrow day. May take several days to recover if we fall below the level of support.