19 Sep 2013
By Mark Feder
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Fed Meeting Minutes Expose Mortgage Rates As Remaining Historically Low

Federal Reserve
The Federal Open Market Committee of the Federal Reserve decided not to reduce the Fed's current quantitative easing program of purchasing $85 billion monthly in Treasury securities and mortgage-backed securities. Going against wide expectations that the Fed would reduce the QE purchases, Fed Chairman Ben Bernanke said that current economic conditions aren't strong enough to warrant tapering. The Federal Reserve May Reduce Monthly Securities Purchases The FOMC, which sets monetary policy for the Federal Reserve has hinted that it might soon reduce the monthly securities purchases, but has also stated that it would closely review emerging economic news and conditions…
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22 Aug 2013
By Mark Feder
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Fed Meeting Minutes Reflect Support For Reducing QE Program

Federal Reserve
The minutes of last month's Federal Open Market Committee (FOMC) meeting show significant support for tapering the Fed's current amount of monthly securities purchases. These purchases, known as quantitative easing (QE), are an effort to maintain lower long-term interest rates including mortgage rates. The Fed has been buying $85 billion per month in Treasury securities and mortgage-backed securities (MBS). Ben Bernanke, chairman of the Federal Reserve and FOMC has hinted at "tapering" the Fed's securities purchases by year-end in recent statements. The FOMC minutes released Wednesday further suggest that tapering based on strengthening economic trends is likely. FOMC Members Express…
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01 Aug 2013
By Mark Feder
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Fed Meeting Statement Positive For Ongoing Mortgage Sector Support

Federal Reserve
There was potentially good news for mortgage rates on Wednesday as the Fed's Federal Open Market Committee (FOMC) announced that its quantitative easing (QE) program would remain unchanged for the present. Economists expect the Fed to begin tapering the amount of QE toward the end of the year in accordance with Chairman Ben Bernanke's previous statements that "tapering" would likely begin near year-end. No specific date for reducing the QE assets purchases was given. Chairman Bernanke has previously indicated that the Fed will closely review domestic and global economic developments as part of its decision-making process for changing the QE…
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11 Jul 2013
By Mark Feder
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FOMC Minutes Reveal Fed May Curb Economic Support Program Before Year End

Federal Reserve
FOMC Minutes Suggest QE Tapering by Year-End The minutes for June's meeting of the Federal Open Market Committee (FOMC) suggest that committee members are mostly in agreement that the current quantitative easing program (QE) should begin winding down by year end, but the committee minutes are very clear concerning the committee's intention to monitor inflation and ongoing economic and financial developments before taking action to reduce the current rate of QE. The Fed currently purchases $85 billion monthly in Treasury securities and mortgage-backed securities (MBS). Investors fear that if the Fed rolls back QE too soon or too fast, it…
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