Freddie Mac’s second-quarter income rises vs. year ago

Freddie Mac said on Tuesday its comprehensive income rose to $2.435 billion in the second quarter from $1.986 billion a year earlier as gains on derivatives offset a decline in its net interest income.

The U.S. mortgage finance agency said it will pay a $1.6 billion dividend to the U.S. Treasury after making no payment in the prior quarter as it sought to build a $3 billion capital cushion due to the sweeping overhaul of the U.S. tax code enacted last December. The earnings increase came even as the domestic housing market is struggling to keep pace with the overall economy.

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Source: Reuters