Whether it is September or in a few months, the Federal Reserve is sticking to its statement that it will begin cutting back on buying-bonds when the economy is strong enough. But the loose requirements make it hard to determine an exact time. James Bullard, head of the Federal Reserve Bank of St. Louis, said America could see tapering as early as October. Per the Christian Science Monitor:
Bullard, a voting member of the Fed committee that sets interest rates, said it was a "close decision" not to begin trimming back its $85-billion-a-month in purchases of Treasury and mortgage-backed securities.
“If the economy picks up, the central bank could begin cutting back its bond purchases as early as October,” he said.Sponsor Content