The headlines of the story about Wednesday’s Federal Reserve policy meeting have already been written. The devil, as they say, will be in the details. On the likely news, it is a “foregone conclusion” the Fed will announce Wednesday that a tapering of asset purchases will begin later this month, according to Michael Gapen, chief […]
Read More(Bloomberg) — The Federal Reserve won’t be the only one announcing a taper on Wednesday. The Treasury Department, for the first time in more than five years, will likely unveil a scaling down of its behemoth quarterly sale of longer-term securities. In time, the Treasury’s reduction in issuance of coupon-bearing debt — notes and bonds […]
Read MorePhoto by Pepi Stojanovski on Unsplash What happens when the Fed tapers? That is the billion (or trillion) dollar question. Before we delve into the possible outcome(s) though, we must first understand what tapering means. In response to the coronavirus pandemic, the Federal Reserve slashed interest rates to zero in March 2020 to help bolster […]
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