Getting rid of MBS faster and shifting to short-term Treasury bills will be on the list.
Powell, Draghi, Kuroda, et al.: Did ya see this NBER study?
China, Japan, other foreign entities dumped US Treasuries. But someone had to buy. Here’s who. So far, so good.
QE may restart only if things get really ugly – think Financial Crisis.
And then the Stock Selloff Starts All Over Again.
The one-month yield is 21 basis points higher than CPI, not seen since 2009.
In fact, QE started reversing at the end of 2014.
The Slickest Annual Wealth-Transfer from Taxpayers to the Banks via the Fed.
But all bets are off if something big breaks.
Wall Street’s hope for a dovish Fed may not be entirely fulfilled, it seems.