Federal Reserve to delay FOMC minutes to Jan. 3

WASHINGTON, Dec 29 (Reuters) The Federal Reserve Board said it will delay the release of minutes for the Federal Open Market Committee's Dec. 12 meeting until 2 p.m.

EST (1900 GMT) on Wednesday, Jan. 3, due to memorial arrangements for former President Gerald Ford.

The Fed had originally scheduled release of the minutes on Tuesday, Jan. 2, but the Fed offices in Washington will be closed for a national day of mourning for Ford.

However, the Fed said on Thursday that its 12 regional banks will be open and operating during normal business hours on Jan. 2 and will provide all financial services as usual.

At its last meeting on Dec. 12, the Fed's policy-setting committee kept the benchmark federal funds rate target steady at 5.25 percent for a fourth straight meeting while renewing a warning on inflation risks and acknowledging a ''substantial'' cooling of the U.S. housing market.

The declaration of a national day of mourning by U.S.

President George W. Bush means that federal offices are expected to close on Tuesday.

The closures also could affect a U.S. Treasury auction of billion in 3- and 6-month bills, currently scheduled for Jan. 2. A Treasury spokeswoman said the no decisions regarding the auction had been announced.

The Treasury also had said earlier that it would announce the disposition of billion of maturing four-week Treasury bills on Jan. 2.

The Nasdaq stock market also said it would be closed on Jan. 2 in remembrance of Ford.

Ford, whose brief presidency in the 1970s was defined by his controversial pardon of Richard Nixon, died on Tuesday at the age of 93.

His body will be flown to Washington on Saturday and he will lie in state at the U.S. Capitol building. A memorial service is scheduled for Tuesday at the National Cathedral in Washington.

Reuters SBA VP0530