New Normal Could Plunge Economy into Recession

7:33 AM

First published by Money Metals here:

The Fed claims it will begin selling off assets from its balance sheet, which remains bloated from previous Quantitative Easing programs. If “normalization” does actually proceed at full speed, it would entail $50 billion in financial assets per month being dumped into the market. Not even Fed officials know how markets will react to the fire sale. But it will likely have the effect of a set of stealth rate hikes.

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