Powell Says Fed to Announce Balance Sheet Rolloff Plan ‘Soon’
- Officials have worked out the ‘framework’ of a plan: Fed chair
- That will result in the end to asset runoff, he says
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Federal Reserve Chair Jerome Powell told lawmakers that he’ll soon announce a plan to stop shrinking the $4 trillion balance sheet that the Fed built up as it battled to shield the economy from the 2008 financial crisis.
“We’ve worked out, I think, the framework of a plan that we hope to be able to announce soon, that will light the way all the way to the end of balance sheet normalization,” which will come sometime later this year, Powell said Wednesday during testimony before the House Financial Services Committee. The next meeting of the policy-setting Federal Open Market Committee is March 19-20.