08-01-2013, 11:53 AM
(08-01-2013, 11:46 AM)specuvestor Wrote: Read my previous posts from 6 Jan 13. In short they don't have to do any transactions in the market to create signalling effect, but just let the bonds mature
then clearly you did not read my post then reply...
the bonds FED is holding now can only mature after 5 years. What can FED do in next 3 years to shrink its balance sheet? withdraw stimulus?
You still live in a world before Operation Twist...