The Federal Open Market Committee said it will extend the average maturity of its holdings of securities, buying $400 billion of Treasuries by the end of June with six to 30 years remaining to maturity and selling an equal amount of maturities three years and shorter, according to an announcement after the FOMC meeting.

“This program should put downward pressure on longer-term interest rates and help make broader financial conditions more accommodative,” the statement said. “The committee will regularly review the size and composition of its securities holdings and is prepared to adjust those holdings as appropriate.”

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.