For the most part, mortgage activity was steady and two-way last week. At times, the market was weighed by originator selling and profit taking, especially when Treasurys were firm.
However, the spread widening that resulted attracted buyers to take advantage of the continued favorable technicals and fundamentals. Spreads in 30-year Fannie Mae MBS were unchanged in 6s and two-to-four basis points firmer in 6.5s through 7.5s. Fifteen-year 5.5s through 6.5s held within a narrow plus and minus one-basis-point range.