Bank and thrift holdings of residential MBS changed very little in the second quarter of 2012, although the portfolios of several of the biggest depository institution investors revealed substantial changes from the previous period. A new Inside MBS & ABS analysis of call report data showed a 1.5 percent decline in total residential MBS held by banks and thrifts during the second quarter. After hitting a record $1.634 trillion as of the end of March, banks and thrifts reported $1.610 trillion in MBS in their held-to-maturity and available-for-sale portfolios as of the end of June. Even with the decline since March, bank and thrift MBS holdings were...[Includes two data charts]