The rate-indicative 10-year Treasury yield on Wednesday fell to 3.90%, a level thought to be significant in terms of prepayments.A move to 3.90% or lower could result in a "significant increase in refi activity," according to Art Frank, director of mortgage-backed securities research at Nomura Securities International Inc. RBS Greenwich Capital Markets MBS researcher Alec Crawford also said he considers the move into a range below 3.90% to be significant.

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