As expected, the Federal Open Market Committee announced the end of their QE stimulus programs at the end of its meeting this afternoon The Fed said it plans to continue reinvest the principal payments from their $4.3 trillion balance sheet in new issues of Treasury debt obligations and agency mortgage-backed securities. This provide some continued support for low rates. There was a blurb in there regarding inflation that stirred up the markets. The initial reaction is probably sharply overdone when measured against the reality of the actual threat. Market appears to confirm that is recovered most of the losses that came right after the announcement.
Posted on: Wed, 29 Oct 2014 20:38:06 +0000