Dec. 21 (Bloomberg) -- The Federal Reserve began selling as much as $8.75 billion of Treasuries in today’s second permanent open-market transaction, part of a program to lower borrowing costs.
The Fed Bank of New York is offering Treasuries due from June 2013 to November 2013 for sale in the operation, according to data on its website.
The central bank sold $8.12 billion of securities earlier today maturing from November 2013 through March 2014.
The Fed is replacing $400 billion of short-term debt in its portfolio with longer-term securities through June. The program has come to be known as Operation Twist, after a similar plan in the 1960s.
To contact the reporter on this story: Liz Capo McCormick in New York at email@example.com
To contact the editor responsible for this story: Dave Liedtka at firstname.lastname@example.org