NEW YORK, March 21 The U.S. Federal Reserve
bought $17.75 billion of agency mortgage-backed securities from
March 14 through March 20, down from $21.55 billion in the prior
week, the New York Federal Reserve Bank said on Thursday.
The U.S. central bank sold $750 million in mortgage
securities guaranteed by Fannie Mae, Freddie Mac
or the Government National Mortgage Association, or
Ginnie Mae, in the latest week. It sold $3.35 million 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
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, a move to help the housing market.