After having the market for mortgage securitization virtually to themselves, while Fannie Mae was in the regulatory doghouse, issuers of asset-backed securities again faced fierce competition as government-sponsored enterprises returned with a vengeance to the market. (See: Agency Bond Issuance Recovers: Q1 2006) The graph, based on Federal Reserve flow of funds table F126, shows how, […]

Although the pace of net new issues of agency bonds was still $79 billion below levels of 2003 — the peak year before the crack-down on Fannie Mae for accounting irregularities — issuance of mortgage bonds by government-sponsored-enterprises recovered to $492 billion in Q1 2006 (annual rates), according to Federal Reserve flow of funds table […]

Although foreign investors continue to be the largest purchasers of most types of US bonds, this sector showed less interest in Treasuries than in the past, shifting assets into short-term repurchase agreements in Q1 2006. In same quarter, the offer of new bonds rose due to seasonal issues by the US Treasury and to domestic corporations […]