02-10-2021, 04:39 PM
(02-10-2021, 11:29 AM)vbin Wrote: QE has been restricted. Central bank not printing. They officially are saying, too much liquidity and reserves in banks. They plan to change policies post March 31st( or was it april, I forgot) and hence we will see banks start to buy more securities(bonds).
That is not the case. Fed tapering of bond purchases isn't expected to start occurring until 2022. Rate rises aren't likely until the end of 2022/early 2023
https://www.bloomberg.com/news/articles/...qe-mistake
https://www.nytimes.com/2021/01/14/busin...rates.html
The economy and labor markets would have to perform far better than the best consensus estimates for that to change.