$200 billion mortgage bond plan announced: U.S. government directly orchestrates liquidity injection

RektRecovery · 2026-01-09T00:44:12+00:00

The United States has launched a $200 billion mortgage-backed securities purchase program aimed at lowering mortgage rates to address housing affordability issues. The program is executed by Fannie Mae and Freddie Mac without congressional approval, and analysts refer to it as a "personal version of quantitative easing." Despite the Federal Reserve's rate cuts, mortgage rates remain high, and housing affordability pressures persist. This move could alter the liquidity environment and impact traditional finance and cryptocurrency markets.

RektRecovery

2026-01-09 00:44:12

Abstract generation in progress

【BlockBeats】On January 9th, a major announcement was made — the United States has launched a $200 billion MBS (Mortgage-Backed Securities) purchase program. This is not the Federal Reserve operating, but the current government taking direct action. The goal is straightforward: to lower mortgage rates and address housing affordability issues.

According to public statements, Bill Pulte, Director of the U.S. Housing Finance Agency, confirmed to the media that this plan will be specifically implemented by Fannie Mae and Freddie Mac. Interestingly, the entire scheme does not require Congressional approval and directly utilizes the existing approximately $200 billion operational quota these two agencies have for mortgage investments.

What does the market think? Many analysts refer to this as a “personal version of quantitative easing.” This characterization is not unfounded — in form, it indeed resembles the Fed’s approach after the 2008 financial crisis, where they stabilized the market by purchasing MBS.

However, there is an ironic aspect. The Federal Reserve has already cut interest rates consecutively, with a total reduction of 75 basis points, yet the 30-year fixed mortgage rate remains stuck at 6.16%. This indicates that simply cutting rates has not addressed the fundamental issues. Inflation remains high, living costs continue to rise, and the pressure to buy homes remains significant for ordinary people.

From an asset market perspective, this $200 billion direct injection signifies a noticeable change in liquidity. Both traditional financial markets and crypto assets need to pay attention to how this large-scale government intervention impacts the overall liquidity environment.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

15 Likes

Reward
15
8
Repost
Share

Comment

0/400

SmartContractDiver

· 6h ago

Here it comes again, government-style QE, bypassing Congress to pour money directly into the economy This trick was used back in 2008, just with a different disguise now Housing prices still can't go down, brothers Let's wait and see how the Federal Reserve responds next, it's interesting Spending 200 billion, ordinary people still can't afford a house Feels like they're bleeding the GSEs, does it really help homebuyers? I doubt it History always repeats itself, but the scenes are more surreal This move, it feels like the market is about to be manipulated again Using the existing quota directly, impressive, they really don't lack money Mortgage rates are lowered, how to break inflation? Mutual harm, right? No wonder it's the US, they come up with ideas we can't think of Quantitative easing with a different name is just a new policy, impressive

View OriginalReply0

GasFeeCryer

· 01-09 01:13

Oh no, directly injecting 200 billion, this is the rhythm of "personal QE" indeed. The government doesn't follow the usual congressional route, really ruthless. Honestly, it's still the housing prices that are too outrageous, need to rescue the market. Fannie Mae and Freddie Mac are about to take the blame again. The term "personal version of quantitative easing" is hilarious, haha. Wait, will inflation explode again if this continues? Feels like another financial magic show. Money falling from the sky, bankers making a killing. The US government really dares to play this hand.

View OriginalReply0

LayoffMiner

· 01-09 01:10

Huh? Bypassing Congress to directly move 200 billion, this move is bold enough. It's the same old MBS approach, the ghost of 2008 still hasn't disappeared. Are house prices so hard to sell? Just have the government step in. What's the difference between government QE and Federal Reserve QE? They seem the same. Just treat it as a printing press. Can this time truly lower mortgage rates? I doubt it. Wait, is this just hype for the upcoming election?

View OriginalReply0

WinterWarmthCat

· 01-09 01:07

Here we go again? The government directly takes charge, no need for Congress approval. What's the difference from QE? Can housing prices drop? I doubt it. Bypassing the Federal Reserve directly, this move is a bit extreme. Throwing 200 billion in, will it just be water flowing uphill again? Isn't this just a disguised way of rescuing the market, just for show?

View OriginalReply0

alpha_leaker

· 01-09 01:03

Here comes another government "rescue the market" show, bypassing Congress and directly intervening. This tactic... feels a bit familiar. A $200 billion move is just another form of QE. Can housing prices really drop, or is this just a new trick to cut the leeks? The government doesn't want the Fed to intervene, so they do it themselves. This logic is absurd. Wait, are they bailing out Fannie Mae and Freddie Mac? What about retail investors' mortgages? Can they really become cheaper? MBS, this thing, the same playbook from 2009 is being pulled out again. History is repeating itself. Personal QE sounds pretty scary... the market is about to get volatile again.

View OriginalReply0

ZeroRushCaptain

· 01-09 01:00

Bro, isn't this just a money printer in disguise? Eventually, we still have to pay back the debt. 200 billion poured in, and the crypto world will be cut again. History really is repeating itself. Direct government intervention? Do we retail investors still have hope for our money? That's hilarious. It's either quantitative easing or liquidity release. Honestly, isn't it just delaying the crash? I'm too familiar with this routine. Every time they say it's to stabilize the market, but in the end, it's just the big players' pockets getting fatter. How did we get through 2008? Now they're doing it all over again. Americans really know how to play. Being able to move 200 billion without congressional approval is truly impressive. No wonder the crypto world is so crazy. Let's wait and see. When the dollar depreciates, we'll know what real inflation looks like. The government stepping in to cut interest rates—are they trying to save the housing market or the entire system? If this move backfires, the US debt crisis will hit hard. Then the crypto market will be the real safe haven.

View OriginalReply0

SchroedingerMiner

· 01-09 00:57

200 billion dollars poured into the housing market, really bypassing Congress and going straight for it. This tactic is quite something. The government is doing QE? So when will it be our turn in the crypto world for a big liquidity injection? It's all about MBS and interest rates. Honestly, it's still about saving the housing market. Landlords should be laughing. Why does this logic feel so familiar? It seems the dollar is about to depreciate again. But on the other hand, it would be great if this money could really flow into the crypto market, haha. History always repeats itself. The same playbook from 2008 is being used again now. This move by the government is probably paving the way for upcoming inflation. Honestly, 200 billion dollars, is that real? Is this another new trick to cut the leeks?

View OriginalReply0

LiquiditySurfer

· 01-09 00:54

Bypassing Congress to pour money directly, this approach is really becoming more and more hardcore. The government stepping in to buy MBS, essentially printing money to rescue the market. $200 billion sounds like a lot, but it's actually just the cost to maintain the status quo. Fannie Mae and Freddie Mac being used as pawns, the US government is getting better and better at this combo punch. Quantitative easing at the open, inflation will definitely come knocking. This time, the housing market is the one reaping the benefits. It was tech stocks before, now it's houses? Direct operation without Congress, the concentration of power is truly outrageous. It feels like giving the real estate market a blood transfusion, but the fundamental problem still hasn't been solved. There's no such thing as a free lunch; who ends up paying the bill remains unclear.

View OriginalReply0