4/12, 7:05 PM (Source: TeleTrader)
more TeleTrader news

Brainard: Fed could decide on balance sheet in May

The Federal Reserve could decide "as soon as May" to start reducing the size of the balance sheet, with reductions coming in June, Board of Governors member Lael Brainard said on Tuesday. She asserted this action, combined with interest rate hikes "will bring the policy stance to a more neutral posture expeditiously later this year."

Brainard repeated that longer-term inflation expectations remain well-anchored, which is "enormously important and will be very important." She predicted that "there are good reasons to think that we can bring inflation down over time, seeing a moderation of demand while the supply side continues to recover and we continue to see strength in the labor market."

Baha Breaking News (BBN) / DJ