The Open Market Trading Desk (the Desk) at the Federal Reserve Bank of New York undertakes small value transactions for the purpose of testing operational readiness to implement existing and potential policy directives from the Federal Open Market Committee (FOMC). The FOMC authorizes and directs the Desk to conduct these exercises to test its operational readiness in the Authorizations and Continuing Directives for Open Market Operations.
In connection with these directives, the Desk intends to conduct four small value agency MBS dollar roll operations on November 10, 2026 and four small value agency MBS coupon swap operations on November 12, 2026.
On November 10, the Desk will sell the roll: the Desk intends to sell unsettled November To-Be-Announced (TBA) positions and to buy December TBA positions. The Desk will roll the following security: 15-year UMBS 5.5 percent coupon. Each dollar roll operation will have a face value of $5 million, for a total current face value of $20 million across the four operations.
On November 12, the Desk intends to swap out of unsettled November TBA positions of 30-year Ginnie Mae 6.0 percent coupons for other readily available MBS. Each coupon swap operation will have a face value of $5 million, for a total current face value of $20 million across the four operations.
