Fed Discusses Limited Bond Sales to Withdraw Stimulus
Bloomberg – Federal Reserve officials are considering a proposal to schedule limited sales of bonds from the central bank’s $2.2 trillion balance sheet as part of a range of tools for withdrawing record monetary stimulus. The Federal Open Market Committee discussed asset sales at its November meeting, with some members in favor and others warning that it would cause “sharp increases” in longer-term interest rates, according to minutes of the meeting released Nov. 24. A middle route now being studied would allow small amounts of bonds to be unloaded at announced times. Read Article
Ed – As investments buying bonds from a Government that is printing money to get out of it’s debt hole”¦..and most probably will default sooner rather than later too…is not the safest of bets
