Fed may taper in December

U.S. Federal Reserve policy makers have decided to continue QE for now, but have signalled the bank could begin tapering as early as December, reports the Financial Times.

Read: Fed tapering encourages a dovish BoC

The Federal Open Market Committee didn’t shift from its October policy positions, and will keep buying bonds at the rate of $85 billion a month.

In its statement after the meeting, FOMC implied it could begin to taper its asset purchases as early as December or January if the U.S. economy is strong enough, FT reports. It signaled this change by leaving a sentence in its September statement that referred to tightening market conditions out of today’s update.

Read more here.

Also read:

What spooked the Fed?

Retail sales key to U.S. growth

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.