NEW YORK Nov 29 The Federal Reserve bought
$16.9 billion in agency mortgage-backed securities from Nov. 22
to Nov. 29, less than the $18.7 billion it bought in the prior
week, the New York Fed said on Thursday.
The U.S. central bank sold $2.0 billion mortgage securities
guaranteed by Fannie Mae, Freddie Mac or the
Government National Mortgage Association (Ginnie Mae) in the
latest week. It sold none the previous week, the New York Fed
said on its website.
On Sept. 14, the Fed began a $40 billion monthly increase in
MBS purchases, its third round of large-scale bond buying known
as QE3, in an attempt to support the housing recovery and boost
overall economic growth.
Since October 2011, the Fed has been using funds from
principal payments on the agency debt and agency MBS it holds to
reinvest in agency MBS, which was an earlier move to help the