After the Federal Reserve Bank of New York conducted its first auction of Maiden Lane II (ML II) bonds last week, it is following up with two auctions this week.
The New York Fed is planning on auctioning 50 RMBS bonds worth close to $1.23 billion this Wednesday and Tuesday.
On Wednesday, it is planning to auction 42 bonds worth $691,255,198 while on Thursday it is planning to auction off 8 bonds totalling $534,127,946, according to its Web site.
On March 30, the New York Fed said that via its investment manager BlackRock Solutions, it will start selling the assets in the ML II portfolio both individually and in segments over time "as market conditions warrant through a competitive sales process."
Last week the New York Fed put 52 securities with a face value of $1.5 billion up for sale at the beginning of the week. The New York Fed said 42 of the securities with a face value of $1.33 billion were sold in the auction. One dealer reported that a single buyer bought 1/3rd of the list.