Mortgages are off to a weak start this month as a flight-to-quality bid returned to the market last week.

Lehman Brothers' MBS Index underperformed Treasurys by 17 basis points in the first two days. Other indexes were also off to a negative start: ABS, negative 13 basis points; CMBS, negative 56 basis points; and U.S. credit, negative 23 basis points.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.