Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
💎 Reveal Undervalued Stocks Hiding in Any Market Get Started
Treasury's Mnuchin asks bond dealers about Fed policy: Bloomberg
© Reuters. U.S. Treasury Secretary Mnuchin speaks during his interview with Reuters in Jerusalem
(Reuters) - Treasury Secretary Steven Mnuchin privately asked bond dealers and investors whether they want the Federal Reserve to tighten monetary policy by raising interest rates, or by reducing its balance sheet faster, Bloomberg reported on Wednesday, citing six people familiar with the matter.
Mnuchin raised the question with a Treasury advisory committee in an Oct. 30 meeting, which included representatives from top banks such as Goldman Sachs Group Inc (N:GS) and JPMorgan Chase & Co (N:JPM), Bloomberg reported.
The panel members were split in their response, the Bloomberg report said.
In recent months, Republican President Donald Trump has repeatedly criticized Fed chief Jerome Powell and the Fed's interest rate increases, saying that the central bank was making it more expensive for his administration to finance escalating U.S. deficits. Trump has called the Fed "crazy" and "ridiculous."
The Federal Reserve had outlined a plan to reduce its $4.5 trillion portfolio, which contains mostly mortgage and Treasury securities, in October last year, and has already shed about $250 billion since then.
A total of $395 billion in bonds are expected to exit the Fed's balance sheet in 2018 and another $470 billion in 2019, a TD Securities analyst said.
The Federal Reserve was not immediately available for a comment, while the U.S. Department of Treasury did not immediately respond to a request for comment.
Goldman Sachs and JPMorgan did not immediately respond to a request for comment.
Related Articles
Add Chart to Comment
Confirm Block
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
Report this comment
I feel that this comment is:
Comment flagged
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.