Fed to buy $32 bln in Treasury debt in next month

Discussion in 'Economics' started by ASusilovic, Oct 13, 2010.

  1. NEW YORK (MarketWatch) -- The Federal Reserve Bank of New York said Wednesday it would buy $32 billion in Treasury bonds through mid-November, part of officials' pledge in August to reinvest cash from maturing mortgage-backed securities and housing agency debt back into the bond market to support the economic recovery. That amount will be purchased in nine operations. Analysts expected the Fed to say it would buy about $30 billion in this round, based on estimates of how much of the Fed's portfolio is maturing. After the announcement, Treasury prices stayed under pressure, pushing yields up. Yields on benchmark 10-year debt rose 4 basis points to 2.47%.

    http://www.marketwatch.com/story/fed-to-buy-32-bln-in-treasury-debt-in-next-month-2010-10-13

    I think, when interest rate yields are at > +10 %, I might think about investing again into the US of A government "debt". Otherwise buying as much puts as I can get... :cool: