Yesterday the Federal Reserve stated again that it would maintain its existing policies of reinvesting principal payments from its holdings of agency debt and agency MBS in agency MBSs. 

Royal Bank of Scotland (RBS) analysts said the Fed's reinvestment program has been a main technical factor in the agency MBS market.    In research this afternoon, analysts reviewed the size and composition of the Fed's purchases since last September, and made a projection of the Fed's demand for agency MBS throughout the rest of the year. 

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