Posted To: MBS Commentary10yr yields hit a long-term ceiling of 1.776 on March 30th, 2021 as bonds quickly priced in vaccine efficacy and fiscal policy. Several sideways months gave way to a delta-inspired rally. Political gridlock and persistently friendly Fed policy helped. With case counts subsiding again and the Fed certain to announce tapering soon, rates are once again testing ceilings as yields cracked back up into the 1.70+ realm last week before bouncing back down. The new week begins with that ceiling being reinforced, for now. The first chart shows HOURLY candlesticks including the first few hours of trading in the new week. Here’s where those technical levels fall in the bigger picture: While it’s all well and good to talk about range ceilings remaining intact, it’s worth noting that not all…(read more)Forward this article via email:  Send a copy of this story to someone you know that may want to read it.