Rate Watch 3-17-2009

Cautiously Floating:
Mortgage Bonds continue to trade in a sideways range.
Stocks, on the other hand, have rallied several days in a row, but appear stalled.
Housing Starts for February came in better than expected. This was the first increase in 8 months and is due in large part to an 82% increase in the construction of apartment buildings.Today, the Fed kicks off its two-day policy meeting, which will conclude with a rate and policy statement tomorrow afternoon.