Treasuries and mortgage bonds are slightly lower this morning after advancing the last few days. Improving equity markets globally have slowed demand for the securities.
The bond markets are closed today in observance of the Columbus Day holiday. On Friday morning, mortgage backed securities first rallied on the disappointing non-farm payroll reports, then sold off after originators began selling into the week long rally. The disappointing employment figures have raised expectations among investors, that the central bank will move to jolt the economy with another round of stimulus. Today, two Vice Chairmen of the FOMC and Board of Governors are scheduled to speak.