NY Fed to sell $1.23 bln bonds from Maiden Lane II

NEW YORK, April 11 (Reuters) – The Federal Reserve Bank of
New York plans to auction 50 residential mortgage bonds with a
total face value of $1.23 billion in transactions on Wednesday
and Thursday, it indicated on its website on Monday.

The sales would be the Fed’s second and third from the
Maiden Lane II portfolio that was created during the depths of
the financial crisis to absorb the troubled “private-label”
mortgage bonds from AIG (AIG.N: Quote, Profile, Research), and help prevent the collapse
of what was the world’s largest insurer.

On Wednesday, it aims to sell 42 bonds with a face value of
$691.26 million. Thursday’s sale will be 8 bonds with a face
value of $534.13 million.
(Reporting by Al Yoon; Editing by James Dalgleish)

NY Fed to sell $1.23 bln bonds from Maiden Lane II