Thursday, February 18, 2010

Fed MBS Purchase Program almost 96% Complete

by Bill McBride on 2/18/2010 10:22:00 PM

The countdown continues ...

The following graph is from the Atlanta Fed Financial Highlights, and shows the cumulative Fed MBS purchases by week:

Fed MBS PurchasesClick on graph for larger image.

From the Atlanta Fed:

  • The Fed purchased a net total of $11 billion1 of agency-backed MBS through the week of February 10. This purchase brings its total up to $1.188 trillion, and by the end of the first quarter of 2010, the Fed will have purchased $1.25 trillion (thus it is 95% complete).

    [1CR note: Atlanta Fed had typo of only $1 billion]

  • This total was the lowest weekly total of MBS purchases since the first week of the program, excluding the week during the December holidays, when $9.3 billion was purchased.
  • The Fed purchased an another $11 billion net in MBS through the week of Feb 17th, bringing the total to $1.199 trillion or almost 96% complete.

    Mortgage rates declined slightly, from Freddie Mac: Mortgage Rates Hover Near Record Lows
    Freddie Mac today released the results of its Primary Mortgage Market Survey® (PMMS®) in which the 30-year fixed-rate mortgage (FRM) averaged 4.93 percent with an average 0.7 point for the week ending February 18, 2010, down from last week when it averaged 4.97 percent. Last year at this time, the 30-year FRM averaged 5.04 percent.
    Six weeks and about $50 billion to go.