Mortgage bonds pushed lower

Stocks stormed to the upside at the open as the ECB’s President vowed to do “everything possible” to solve Europe’s financial crisis.  The Durables Goods report for June was better than expected, and last weeks Initial Jobless Claims were lower than estimates.  That all resulted in the Dow moving up over 200 points, and is currently up 170.  mortgage bonds were pushed lower by all the stock friendly news, as well as a less than stellar auction from yesterday.  We will maintain a locking bias on short term transactions.