US Federal Reserve wants to reduce total assets by around 95 billion dollars per month

Washington The US Federal Reserve (Fed) is preparing the markets for a sharp change in course. The central bankers are planning to quickly reduce the Fed’s total assets, which had swelled to almost nine trillion dollars during the pandemic. The Fed is therefore considering letting bonds with a total value of up to $95 billion per month expire and not reinvesting them.

This emerges from the minutes of the most recent meeting in mid-March, which was published on Wednesday. This step is to be finally decided at the forthcoming Fed meeting in early May. The reduction would thus be twice as fast as the previous one from 2017. At that time, however, the inflation rate was also significantly lower.