After a strong run-up in earnings spanning more than a year, the Federal Home Loan Banks posted a modest decline in quarterly income in the third quarter. (Includes three data tables.)
The ratings outlook for Fannie Mae, Freddie Mac and two of the FHLBanks have been upgraded from negative to stable, reflecting strong economic growth and heightened government support.
The FHLBank System’s net income was off 10.4% for the full year despite a 29.5% spike in the fourth quarter. The bulk of that decline was due to lower net interest income, which dropped 10.9% in 2019. (Includes data chart.)