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U.S. Fed buys $59.4 billion of mortgage bonds, sells $1 bln

Published 04/16/2020, 02:05 PM
Updated 04/16/2020, 02:10 PM
© Reuters. Federal Reserve Board building on Constitution Avenue is pictured in Washington
FMCC
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FNMA
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NEW YORK, April 16 (Reuters) - The Federal Reserve bought $59.403 billion of agency mortgage-backed securities in the week

from Apr. 9 to Apr. 15, compared with $109.352 billion purchased the previous week, the New York Federal Reserve Bank said on Thursday.

In a move to help the housing market begun in October 2011, the U.S. central bank has been using funds from principal payments

on the agency debt and agency mortgage-backed securities, or MBS, it holds to reinvest in agency MBS.

© Reuters. Federal Reserve Board building on Constitution Avenue is pictured in Washington

The New York Fed said on its website the Fed sold $1 billion in mortgage securities guaranteed by Fannie Mae (OB:FNMA),

Freddie Mac (OB:FMCC) or the Government National Mortgage Association, or Ginnie Mae,

in the latest week. It sold none the prior week.

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