Federal Reserve buys no mortgage bonds, sells none

FILE PHOTO: The Federal Reserve building is pictured in Washington, DC
FILE PHOTO: The Federal Reserve building is pictured in Washington, DC, U.S., August 22, 2018. REUTERS/Chris Wattie/File Photo

December 6, 2018

NEW YORK, (Reuters) – The Federal Reserve bought no agency mortgage-backed securities in the week from Nov. 29 to Dec. 5, compared with NONE 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.

The New York Fed said on its website the Fed sold no mortgage securities guaranteed by Fannie Mae <FNMA.OB>,

Freddie Mac <FMCC.OB> or the Government National Mortgage Association, or Ginnie Mae,

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

(New York Treasury Desk)