Sentences with phrase «fed bond buying programs»

Not exact matches

That could mean that the Fed is moving closer to reducing its program of buying US$ 85 billion of bonds every month, but the statement gave no indication of when that might happen.

His speech follows the Fed's decision at its Sept. 12 - 13 meeting to launch a new mortgage - bond buying program.

One of the goals of «quantitative easing,» the Fed's program of buying Treasuries to increase monetary supply and reduce the value of bonds, was to bolster other assets relative to bonds.

The bond buy - backs are a component of the Fed's quantitative easing program, whose goal is to inject liquidity into markets and keep interest rates low.

Many observers are casting as a surprise the U.S. Fed's decision not to cut back on its US$ 85 billion monthly bond buying program.

If Yellen's Fed fails to convince Wall Street about the policy path, a rate increase could trigger financial turmoil of the sort seen in 2013, when investors were caught off guard by the central bank signaling an end to its bond - buying program.

The message in Wednesday's release of the minutes from the Fed's June policy meeting reiterated a dovish notice to the market, while spelling out the endgame this fall for its massive bond - buying program.

Yet while the Fed has eased policy to lower joblessness and raise inflation in the wake of the 2007 - 2009 recession, central banks such as the BoE have also launched accommodative bond - buying programs despite higher - than - desired inflation rates.

Many investors believed Summers to be somewhat of a hawk and feared he would unwind the Fed's current bond - buying program too soon.

Bullard's comments were notable because he was Ben Bernanke's sidekick in pushing the bond - buying program known as quantitative easing that the Fed adopted late last year.

Yes, cheap money polices did help stabilize a reeling housing sector, that shouldn't be dismissed, but what else does the Fed have to show for near - zero short term interest rates and the fortune spent lowering longer term rates through its bond buying program?

The new Fed chair will likely take the reins from Bernanke in January of next year, right as the central bank dials back its unprecedented $ 85 - billion a month bond - buying program.

The Fed confirmed that its bond - buying stimulus program would end next month, and its new projections suggested some officials saw the risk that rates might have to rise at a faster pace when the bank eventually starts tightening.

Long - term yields for Treasury bonds began to rise in early May, following comments from numerous Federal Reserve officials indicating that the Fed's massive bond - buying program would begin to slow if the economy continued to improve.

He is also concerned about what happens when the Fed ends its bond - buying program, citing the need for more clarity on the central bank's exit policy.

Yet even Fed policymakers who have raised the alarm on inflation backed the central bank's decision on Wednesday to let its $ 600 billion bond - buying program run to its scheduled end in June.

That said, redemptions were moderate during the first two weeks of June and even slowed for the week ending June 19 — the day that Fed Chairman Ben Bernanke held a press conference and announced that the Fed would likely begin backing away from its bond - buying program by the end of the year.

The Fed, for instance, pumped its balance sheet to $ 4.5 trillion through its monthly bond - buying program known as quantitative easing.

WASHINGTON (Reuters)- The Federal Reserve could begin reducing the size of its bond - buying stimulus program as early as September but might wait longer if economic growth fails to pick up in the second half of the year, a top Fed official said on Tuesday.

N.B.: I don't think the Fed is going to taper its bond - buying program until some time early next year.

First, the Fed will shrink the balance sheet much more slowly than it grew it through its bond - buying program.

The original taper tantrum occurred in spring of 2013, after then Fed - chair Ben Bernanke hinted that the Fed would begin backing off its bond - buying stimulus program.

Operationally, the Federal Reserve's program of quantitative easing involves expanding the «monetary base» (currency plus bank reserves), which it does by buying up Treasury bonds and paying for them with zero - interest base money, which is a «liability» of the Fed.

In June 2013, then - Fed Chair Ben Bernanke stepped to the microphone for a regular press conference and suggested the central bank might start winding down its bond - buying program — first enacted in the wake of the 2008 financial crisis — if the economy continued to improve.

While base rates kept at or close to zero for almost seven years and three massive asset - buying programs by the Fed have undoubtedly helped stabilize the US (and world) economy during and after the recession that followed the global financial crisis, the continuation of expansionary monetary policies is now supporting a growing excess of global liquidity that has been distorting the market signals sent by stock and bond prices and thus contributing to the growing volatility seen in recent weeks.

For three - straight years — between 2014 and 2016 — the greenback surged higher as the Fed ended «QE3,» the stimulus program that had the U.S. central bank buying as much as $ 85 billion worth of government bonds per month, and did away with the zero - interest - rate policy that was in place since the financial crisis.

Although the valuations are soaring, they could take a significant hit as the global economy is in the midst of instability and the Fed is tapering its monthly bond - buying program, otherwise known as quantitative easing.

By the end of the year, the Fed had reduced interest rates to near zero and had launched controversial programs, such as buying bonds to lower mortgage and other long - term rates to spur borrowing.

Tapering is a word that came into the economic dictionary in May 2013, when Bernanke told Congress that the Fed may «taper» (reduce) the size of the bond buying program that it was pursuing to stimulate the economy.

Indeed, world currency markets have roared back to life lately after years of hibernation, with a handful of monetary policy surprises — including the European Central Bank (ECB)'s bigger - than - expected bond buying program and the Federal Reserve (Fed)'s delay in raising rates — leading to rising volatility, as the chart below shows.

These new trends haven't gone unnoticed, with many of these sectors starting to perform well when the Fed officially ended its bond - buying program last October, marking the end of an extraordinary monetary - policy experiment.

An end of QE would likely result in higher long - term interest rates, which have been pushed to historic lows on account of the Fed's massive bond - buying program.

What everyone most wants to know is when the Fed is going to start tapering off its bond - buying program (called Quantitative Easing), which has flooded the banking system with money for the past five years and kept interest rates abnormally low.

After all, it was just two years ago when a «taper tantrum» — or the talk of an end to the Fed's bond - buying program hit emerging markets such as India and South Africa with a wave of currency depreciation and capital flight.

He argued against ending the Fed's bond buying program and urged the central bank to make a commitment to achieving its inflation target before starting to raise interest rates.

For four years now inflation has stayed resolutely below that target even as the Fed deployed an unprecedented program of bond buying and low interest rates in an effort to push prices up.

Gundlach says he's uncomfortable with the term «tapering» to describe the Fed's expected approach to winding down its bond - buying program, saying it wrongly implies the central bank can achieve «perfection» in its effort to wind down quantitative easing.

Fund managers said the metal was bid up on expectations of further U.S. monetary easing and that bullion could sell off if Federal Reserve chairman Ben Bernanke does not announce a new bond - buying stimulus program at an annual Fed conference in Jackson Hole, Wyo., on Friday.

«Officials have been leaning toward an open - ended bond - buying program in which the Fed holds open the possibility that it will continue to buy bonds after an initial allotment is purchased if the economy doesn't pick up.

What they should be saying is that broad - based equity investors were wrong to cheer the Federal Reserve's economic downgrade and subsequent continuation of its money - printing, bond - buying program; in particular, lower economic forecasts by the Fed will likely be accompanied by reduced revenue and lower earnings at the corporate level.

For one, a winding down of the Fed's bond buying program means interest rates could go up, which may trigger losses for investors holding Treasury bonds.

Moreover, with ongoing Federal Reserve action in the credit markets, investors have to be on guard for activities that could leave them vulnerable to a reversal if the Fed takes away its bond - buying programs in the future.

If bond yields rise 0.25 % when the Fed is buying 70 % of the bonds and keeping interest rates artificially low, those yields will experience a stratospheric zoom after June 30, when Bernanke's «QE2» bond - purchase program comes to an end.

The Fed will make its next announcement on interest rates and provide some clarity on the end of quantitative easing, the stimulus program of massive bond buying that kept long - term rates low and encouraged a rally on stock markets.

However, since the Fed began curtailing its bond buying / electronic money printing program (a.k.a. «QE3») in earnest circa mid-2014, the U.S. economy has struggled.

Fed ends special stimulus for economy — The Federal Reserve announced the end of its bond - buying program, but signaled that it will keep its main lever on interest rates at near - zero levels... (more)

Are you concerned that the Fed's announced plan to taper its bond - buying program this year will have a negative effect on the economy and commercial real estate?

In May, when the Fed at last signaled the beginning of the end of the super low - rate environment with the announcement of a gradually tapering - off of its bond - buying program, there was generally a sense of panic for fixed - income and yield - oriented investments such as REITs.