Bullard: Fed Must Start Trimming Balance Sheet in Second Half

The Federal Reserve has interest rates right where they should be, but should start trimming its massive balance sheet in the second half of the year, St. Louis Federal Reserve Bank President James Bullard said on Friday.

“We’ve delayed a little bit too long in reducing the size of the balance sheet,” Bullard said in an interview with Reuters near the Stanford University campus, where he is attending a conference on monetary policy.

The Fed should first communicate its approach and then begin allowing the balance sheet to shrink “maybe sometime in the second half of the year,” he said, adding that the decision on the timing would be up to Fed Chair Janet Yellen.

The Fed has raised rates three times since the Great Recession, but left them unchanged at its meeting earlier this week. Strong jobs growth in April, reported earlier on Friday, has added to investor confidence



Leave a Reply

Recent Posts

Trump Supporters: Get Your 2020 'Keep America Great' Shirts Now!

Are you a proud supporter of President Donald Trump?

If so, you’ll want to grab your 2020 re-election shirt now and be the first on your block to show your support for Trump 2020!

These shirts are going fast so click here to check for availability in your area!


More Popular Stuff for Trump Supporters!

MUST SEE: Full Color Trump Presidential Coin (limited!)

Hilarious Pro Trump 'You are Fake News' Tee Shirt!

[Exclusive] Get Your HUGE Trump 2020 Yard or House Flag!