NY Fed said FOMC at Sept. 19-20th meeting,......>

FED: NY Fed said FOMC at Sept. 19-20th meeting, directed NY Fed's Open Market

Trading Desk to "initiate in October 2017, the program to gradually reduce the

reinvestment of principal payments" from Fed's "securities holdings that is

described in the Committee's June 2017 addendum to its Policy Normalization

Principles and Plans."

- It added FOMC directed Desk to reinvest each month's principal payments from

Treasury securities, agency debt, and agency MBS only to extent that such

payments exceed gradually rising caps. The schedule of monthly caps consistent

with the Committee's Sept.20 decision and June 2017 addendum is as follows:

- MONTHLY CAPS IN SOMA SERIES REDUCTIONS:

- DATE:          US TSYS   AGENCY SECs (Prin payments Agency,Agency MBS)

- OCT-DEC 2017   $6.0B       $4.0B

- JAN-MAR 2018   $12B        $8.0B

- APR-JUN 2018   $18B        $12.0B

- JUL-SEP 2018   $24B        $16.0B

-From Oct.'18 on $30B        $20.0B