The Fed has its work cut out for it in order to hold the balance sheet steady as pay down on certain assets is showing up. For the August 17 week, the Fed's total assets shrank $14.5 billion after gaining $5.2 billion the period before. Treasuries holdings actually grew $2.9 billion after rising $3.8 billion. But in the latest period, mortgage-backed securities fell $4.7 billion and federal agency debt declined $1.8 billion. Also, net portfolio holds of Maiden Lane LLC fell $2.6 billion. Total assets for the August 17 week came in at $2.862 trillion.
Reserve Bank credit for the August 17 week fell $6.5 billion after expanding $5.2 billion the prior week.
Note: Total assets in the Fed's H.4.1 report are Wednesday levels while Reserve Bank credit is an average of daily figures for the week ending on the same Wednesday. Changes in total assets are from Wednesday to Wednesday while changes in Reserve Bank credit are for weekly averages.