Research
How the Fed’s Balance Sheet Reduction Could Thwart Easing of Policy Rate
Lowering its stash of long-dated bonds would have an impact on long-term yields, BlackRock finds.
Lowering its stash of long-dated bonds would have an impact on long-term yields, BlackRock finds.
Policymakers don’t want a repeat of 2019, when QT ruffled the markets.
Shrinking the central bank’s balance sheet has been ongoing for two years.