{"id":63293,"date":"2022-04-05T21:39:51","date_gmt":"2022-04-05T17:39:51","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=63293"},"modified":"2022-04-05T22:28:59","modified_gmt":"2022-04-05T18:28:59","slug":"feds-daly-can-start-balance-sheet-reduction-as-early-as-may-meeting","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/feds-daly-can-start-balance-sheet-reduction-as-early-as-may-meeting\/04\/05\/market-updates\/","title":{"rendered":"Fed&#8217;s Daly: Can start balance sheet reduction as early as May meeting"},"content":{"rendered":"\n<p>San Francisco Fed President Mary Daly explained that the labour market is extremely tight while the Fed is on a path to raising interest rates. She added inflation is as harmful as not having a job while many of the imbalances we see are covid-related.<br> <br><strong>Key Quotes:<br><\/strong>&#8221;I don&#8217;t expect a big slowdown in the US economy due to high oil prices,&#8221; she said, adding that the Fed projections do not show a lot of &#8216;overshooting&#8217; on rates\u201d.<br><br>&#8221;We can start the balance sheet reduction as early as the May meeting.&#8221;<br><br>&#8221;The Fed will use balance sheet reductions in addition to rate hikes to reduce policy accommodation.&#8221;<br><br>Financial markets still digest the comments while US Treasury yields already rose to multi-year highs as comments from US Federal Reserve Governor Lael Brainard put investor focus on the possibility of aggressive monetary policy tightening.<br><br>Yields rallied after Brainard said she expects rapid fire style of reductions to the Fed&#8217;s balance sheet alongside methodical increases to the benchmark rate. The yield on 10-year Treasury notes (up 12.9 basis points to 2.541% while the 2-year note yield was up 9.2 basis points at 2.520%, leaving the 2-10 curve at 2 basis points after having been inverted for the most part since last week. Wednesday brings the release of minutes from the FOMC&#8217;s last policy meeting.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>San Francisco Fed President Mary Daly explained that the labour market is extremely tight while the Fed is on a path to raising interest rates. She added inflation is as harmful as not having a job while many of the imbalances we see are covid-related. Key Quotes:&#8221;I don&#8217;t expect a big slowdown in the US &hellip;<\/p>\n","protected":false},"author":13,"featured_media":62129,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[37,36],"tags":[8563,6885,7770,7822,7717,7986],"class_list":["post-63293","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-forex-markets","category-market-updates","tag-balance-sheet-reduction","tag-fed","tag-fomc-minutes","tag-labour-market","tag-lael-brainard","tag-mary-daly"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/63293","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=63293"}],"version-history":[{"count":2,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/63293\/revisions"}],"predecessor-version":[{"id":63300,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/63293\/revisions\/63300"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/62129"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=63293"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=63293"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=63293"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}