Morgan Stanley analysts said in Agency MBS...>

US MBS: Morgan Stanley analysts said in Agency MBS Update that MBA Refi Index

"increased by 6.3% from 1291 to 1372 for the week ending on 11/10 on a

seasonally adjusted basis. The Conventional Refi Index increased by 6.1% from

1254 to 1330 and the Government Refi Index increased by 7.1% from 1485 to 1590.

Note that there was no day count adjustment for the Veterans Day holiday on

11/10 as Veterans Day fell on a Saturday this year. This means that the MBA NSA

indices won't show a drop compared to previous years."

- They add "key takeaways from this print are that "the seasonally adjusted refi

index gained 6% over the week, rebounding from its local lows. The pick-up was

led mostly by conventionals (+6%) and VA (+13%), with FHA contributing

marginally (+1%). NSA purchase apps decreased 3% WoW, with FHA (down 5%) and VA

(down 4%) declining the most. Compared to the same week a year ago, purchase

apps are about 17% higher, but we caution that this number is biased by day

count adjustment. The YTD average spread is running closer to 5%."