Now raising intellectual capital
Is it time at last for a big exit?
Of its myriad stimulus programs, the Federal Reserve’s purchase of US Treasurys could be one of the first significant ones to expire as scheduled. The Fed could say as much when policy makers meet next week for their regularly scheduled two-day meeting.
The Bank of England could steal the Fed’s thunder by being first, though. The Bank could decide as early as tomorrow to halt its program that has hoovered up 125 billion pounds of debt with money hot off the printing presses. NYT says it’s a toss-up on whether it will end the program.
The programs have already lost their pop in the markets, but the symbolism of pulling out is huge and could provide clues into how well the financial markets can be weaned off government funds.