An Analysis of the Interest Rate Risk of the Federal Reserve’s Balance Sheet, Part 1: Background and Historical Perspective

Alyssa G. Anderson, Dave Na, Bernd Schlusche and Zeynep Senyuz
Additional contact information
Alyssa G. Anderson: https://www.federalreserve.gov/econres/alyssa-g-anderson.htm
Bernd Schlusche: https://www.federalreserve.gov/econres/bernd-schlusche.htm

No 2022-07-15-2, FEDS Notes from Board of Governors of the Federal Reserve System (U.S.)

Abstract: As part of its implementation of monetary policy, the Federal Reserve (Fed) holds Treasury securities and agency mortgage-backed securities (MBS) in the System Open Market Account (SOMA). The market value of these securities and the Fed's income fluctuate with changes in interest rates. As such, the ongoing increases in policy rates to address inflationary pressures are expected to put downward pressure on the Fed's net income.

Date: 2022-07-15
New Economics Papers: this item is included in nep-ban, nep-cba and nep-mon
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.federalreserve.gov//econres/notes/feds ... -part-1-20220715.htm (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fedgfn:2022-07-15-2

DOI: 10.17016/2380-7172.3173

Access Statistics for this paper

More papers in FEDS Notes from Board of Governors of the Federal Reserve System (U.S.) Contact information at EDIRC.
Bibliographic data for series maintained by Ryan Wolfslayer ; Keisha Fournillier ().