State Street Sells $11 Billion in MBS

State Street Corp. (STT), the third-largest custody bank, sold $11 billion in MBS and other assets, a step more financial companies may take after global regulators agreed to tighten capital rules. The sale, which included about $6.6 billion of MBS and roughly $4.3 billion of asset-backed securities, will reduce earnings by $350 million in the current quarter, the Boston-based company said today in a statement. – Bloomberg