The US central bank will begin in November to reduce $ 15,000 million in asset purchases


The Federal Reserve (the Federal Reserve or the central bank of the United States) left interest rates at zero or close to zero, but began taking the first steps to reverse the monetary policy that it published to minimize the damage from the pandemic.

After concluding the two-day meeting, the statement published on Wednesday indicates that at the end of November itself he will start withdrawing 15,000 million per month from the 120,000 she contributed to obtaining government bonds and mortgage guarantees.

“In light of the significant additional progress the economy has made toward the committee’s goals” is the phrase Fed governors use to justify reducing their asset purchases.

Expectations are that total acquisitions will drop to 90,000 million in December. That’s another 15,000 less.

He asserts that “the Committee considers that a similar reduction in the pace of asset purchases would be appropriate each month, but it will be prepared to adjust this pace if changes in economic expectations warrant it.”

Central bank leaders also expect the high rate of inflation to decline because the indicators reflect factors that are expected to be temporary.

The statement pointed out that “the imbalance between supply and demand with the spread of the epidemic and the reopening of the economy contributed to a significant increase in prices in some sectors.”

The move to cut asset purchases met analysts’ expectations, following signals from the Federal Reserve to halt a program that accelerated in March 2020 in response to the pandemic and the shutdown of the economy.

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