New production of mortgage-backed securities by Fannie Mae and Freddie Mac fell sharply during October, tracking an industry-wide slowdown in the mortgage market. Together, Fannie and Freddie produced $76.55 billion of new mortgage pass-throughs during October, a 26.4 percent drop from the previous month. In fact, August and September had produced very high MBS volume – some $191.4 billion of new agency MBS – so the October number was very much in line with GSE… [One data table included]