Federal Reserve officials are mulling a small but symbolic change in the management of its securities portfolio next week, as economic recovery remains sluggish, according to the Wall Street Journal.
On August 10, Fed officials will consider whether to use cash received from mature mortgage-bond holdings to purchase new mortgage or Treasury bonds, rather than allowing the portfolio to decrease gradually, as it is likely to do in the upcoming months.
Fed Chairman Ben Bernanke recently listed the purchase of more assets as one of several options for the central bank when asked what steps could be taken to boost economic growth.
The Fed's $2.3 trillion portfolio has nearly tripled in size since 2007.
The purchase of new bonds with cash from maturing bonds would be a sign to the public that the Fed is attempting to bolster economic growth, the report said.