Welcome to this week’s episode of Optimal Insights. In this episode, Jeff McCarty, James Cahill, and Kevin Foley explore the effects of the government shutdown on market data, the Fed’s evolving stance on rate cuts and quantitative easing, and the mechanics of MBS pricing and trade execution. Special guest Justin Monahan from Tradeweb offers a deep dive into how liquidity and transparency are maintained in the MBS market.

Key Topics Covered:

• Government Shutdown Impact: Delays in jobs data, alternative data sources like the Chicago Fed’s CHURN model, and implications for unemployment tracking.
• Federal Reserve Policy: Rate cut expectations, inflation trends, and commentary from Fed Governor Michelle Bowman on quantitative easing and MBS runoff.
• MBS Market Mechanics: Justin Monahan explains Tradeweb’s role in liquidity, price transparency, and trade execution in the TBA and specified pool markets.
• Market Drivers: Treasury movements, ETF inflows, bank buyer activity, and supply-demand dynamics influencing MBS pricing.

Tune in to gain valuable insights to help you stay ahead and maximize your profitability in the ever-evolving mortgage landscape.

Optimal Insights Team:

• Jeff McCarty, Vice President of Hedging and Trading Product, Optimal Blue
• James Cahill, MSR Account Manager, Optimal Blue
• Kevin Foley, Director of Product Management, Optimal Blue

Special Guest:

• Justin Monahan, Agency MBS Product Manager, Tradeweb

Optimal Blue Production Team:

• Executive Producer: Sara Holtz
• Producers: Matt Gilhooly & Hailey Røise

Commentary included in the podcast shall not be construed as, nor is Optimal Blue providing, any legal, trading, hedging, or financial advice.

Mentioned in this episode:

Lock Loans on the Go – Mobile Locking in the Optimal Blue Mobile App

Traditional loan locking slows decisions and ties you to a desk, but borrowers expect instant answers. Optimal Blue’s Mobile Locking changes the game. With our native iOS and Android app, loan officers can access their pipeline, run pricing, and lock loans anytime, anywhere – fast, secure, and accurate. No delays. No extra cost. Just seamless mobility that enhances the borrower experience.

Mobile Locking

Optimal Blue Summit 2026 | February 23-25 | Scottsdale, Arizona

In case you missed it – Optimal Blue has announced the dates for its 2026 Summit! Join us February 23 – 25 at Talking Stick Resort and Conference Center in Scottsdale, Arizona, for a client-exclusive event packed with strategic insight and innovation. Attendees will gain early access to Optimal Blue’s latest generative AI and automation tools, dive into expert-led sessions on pricing, compliance and more, and experience hands-on demos of new capabilities. Plus, it’s a chance to connect with capital markets pros, integration partners, and mortgage insiders—all while gaining actionable strategies to maximize profitability and sharpen your competitive edge. The Optimal Blue Summit: where proven mortgage expertise meets modern innovation to shape what's next. Early bird registration is now open at Summit.OptimalBlue.com – space is limited, so register today!

Summit - OI