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Surprise votes to reduce govvie/muni purchase pace

RIKSBANK
  • Really interesting that the dissenteres they wanted reductions in govvies and munis and not just covered/corp. Maybe to avoid a cliff edge and big spread impact for covereds?
  • No one had been looking for any reduction in govvie/muni purchases at this meeting. Only covered/corporate purchases were expected to be reduced vs the Q1 pace.

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