Federal Reserve to begin reversing stimulus next month

Published



The Federal Reserve on Wednesday set a start date for reducing its massive holdings of government bonds, nine years after it began buying financial assets in bulk to try to counteract the collapse of Wall Street.

Federal Reserve officials announced after a two-day meeting in Washington that they planned to slowly decrease the size of the central bank’s balance sheet, currently swollen to $4.5 trillion, beginning in October. All nine members of the monetary policy committee voted for the action.

Full midterm coverage.Deeper analysis.

Get unlimited access to Washington Examiner's reporting, expert analysis, and coverage of the midterm elections.

Get Unlimited Access

Cancel anytime.