What Is the Fed’s ‘Quantitative Tightening’ and What Phasing It Out Would Mean
As private-sector buyers purchase those new Treasuries, the process drains cash from the financial system, undoing the money ...
Money Metals Exchange9d
The Real Story Behind the Fed’s Moves and Gold Market Volatility
With interest rate speculation dominating headlines, Maharrey urges listeners to shift their focus to the Fed’s balance sheet ...
Kiplinger1y
What Is Quantitative Easing and Why Does the Fed Use It?
As a result, the Fed began two years of quantitative tightening (QT) between 2017 and 2019, a process that's the reverse of QE, which lets its Treasury and agency MBS securities mature without ...
Lagarde speech: Cannot ensure that inflation will always be at 2%
European Central Bank (ECB) President Christine Lagarde said on Wednesday that they cannot ensure that inflation will always be at 2% but added that they must set the monetary policy so it converges ...
FXStreet17d
ECB's Schnabel: Subdued growth should not be taken as evidence that policy is restrictive
Quantitative tightening (QT) is the reverse of QE. It is undertaken after QE when an economic recovery is underway and inflation starts rising. Whilst in QE the European Central Bank (ECB ...
Bank of Canada2y
How does the Bank of Canada’s balance sheet impact the banking system?
Through QT, the Bank allows its holdings of GoC bonds to mature and stops reinvesting the proceeds of principal and coupon repayments. As a result, the Bank’s balance sheet will shrink over time. In ...
Fed May Use the Debt Ceiling 'Crisis' as an Opportunity to Halt QT
The program allows banks and money markets to lend money to the Fed, and in exchange, the Fed provides them with risk-free ...