STOCK MARKET? THIS IS THE END?NY Fed Announces Emergency QE, Will Buy $33BN In Bonds; Yields Tumble..

https://www.zerohedge.com/markets/ny-fed-announces-emergency-qe-will-buy-33bn-bonds-yields-tumble

NY Fed Announces Emergency QE, Will Buy $33BN In Bonds; Yields Tumble

by Tyler Durden

Fri, 03/13/2020 - 10:21

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US Treasury yields are plunging after The Fed announced what amounts to 'Emergency QE' to buy $33 billion in bonds at maturities up to 30 Years...

10Y yields have plunged 16bps on the headline...

FRBNY Statement Details:

The Desk will conduct purchases in each of five maturity sectors below at the times indicated, subject to reasonable prices. 

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• 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

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.