Tradeweb’s Justin Monahan on MBS Liquidity | Market Update: Shutdown & Fed Policy

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 BlueJames Cahill, MSR Account Manager, Optimal BlueKevin Foley, Director of Product Management, Optimal BlueSpecial Guest:Justin Monahan, Agency MBS Product Manager, TradewebOptimal Blue Production Team:Executive Producer: Sara HoltzProducers: Matt Gilhooly & Hailey RøiseCommentary 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:Optimal Blue Study - MarketWise AdvisorsMortgage capital markets decisions have a direct impact on lender profitability, efficiency, and risk management. To better understand that impact, Optimal Blue commissioned an independent ROI study with MarketWise Advisors, analyzing data from hundreds of mortgage lenders, including banks, credit unions, and independent mortgage banks. The Optimal Blue ROI Study highlights consistent gains in operational efficiency, pricing accuracy, and financial performance for lenders using Optimal Blue technology. Key findings include an average $1,006 net financial benefit per loan, nearly 45% greater operational capacity, and strong return on investment reported by PPE clients, with results consistent across lender types. The full 2026 Optimal Blue ROI Study will be released in May and provides a data‑driven look at how mortgage capital markets technology can support better execution and decision‑making. 👉 Sign up to be notified when the full report is released: OptimalBlue.com/2026-study ROI StudyLock Loans on the Go – Mobile Locking in the Optimal Blue Mobile AppTraditional 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. Download the Optimal Blue Mobile App today and start locking loans on the go.Mobile Locking