As referenced in the February 17 operating policy statement, the Federal Reserve Bank of New York (FRBNY) is permitted to undertake certain open market and foreign currency transactions for the purpose of testing operational readiness. These small value exercises are a matter of prudent advance planning. The conduct of such exercises does not represent a change in the stance of monetary policy, and no inference should be drawn about the timing of any change in the stance of monetary policy in the future from them.
In connection with this authorization, the FRBNY’s Open Market Trading Desk (the Desk) intends to conduct two small value agency MBS sales operations, which will occur on Wednesday, May 25, 2016 and Wednesday, June 1, 2016, beginning around 2:00 PM ET and ending at 2:30 PM ET. The total current face value of sales across the two operations will not exceed $150 million.
Concurrent with this announcement, the Desk has published an operating schedule, detailing the date, time, operation type, securities, and maximum sale amount for each operation. In addition, announcements and results will be posted on the FRBNY’s website at the start and following the completion of each operation.
Upcoming Small Value Outright Agency MBS Sales Operations 
