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Strains in Short-Term Markets Raise Urgency of Fed Balance Sheet Debate

Warning signs in crucial money markets have raised the prospect that the central bank will soon stop reducing its portfolio of government debt and mortgage bond holdings.

© Caroline Gutman for The New York Times

Jerome H. Powell, the Federal Reserve chair, recently sent his strongest signal yet that the central bank would soon end its balance sheet reduction program, known as quantitative tightening.
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