Fed buys $3.6B in Treasuries

By Gary Linnell

ProWEB Wire (Industry News)

In an effort to support economic recovery, the Federal Reserve Bank of New York today purchased 3.609 billion dollars in Treasury debt maturing from 2016 to 2020.

This marks the second buyback operation since the Fed announced it would reinvest cash from maturing mortgage-backed securities and housing agency debt back into the bond market.

Finally, the Fed plans to buy about $18 billion in Treasury securities in nine operations through Sept. 13.