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Fed updates current monthly schedule of Treasury purchase operations

With an aim to address disruptions in the market for Treasury Securities, the Federal Reserve Bank of New York announced that it has updated the current monthly schedule of Treasury purchase operations.

Below are the purchases the NY Fed will conduct (all times are EST).

  • 20 to 30 year sector at 10:30 – 10:45 am and 2:15 to 2:45 pm for around $4 billion each.
  • 7 to 20 year sector at 11:15 – 11:30 am  for around $5 billion.
  • 4.5 to 7 year sector at 12:00 – 12:15 pm for around $8 billion.
  • 2.25 to 4.5 year sector at 12:45 – 1:00 pm for around $8 billion.
  • 0 to 2.25 year sector at 1:30 – 1:45 pm for around $8 billion.

Key takeaways from the press release

"These purchases are intended to address highly unusual disruptions in the market for Treasury securities associated with the coronavirus outbreak."

"These purchases are part of the $80 billion of planned monthly purchases, including both $60 billion of reserve management purchases and $20 billion of reinvestments of principal payments received from the Federal Reserve’s holdings of agency debt and agency mortgage-backed securities."

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