Financial Times/Kiran Stacy/2-22-2019
“In its semi-annual report to Congress on Friday, the Fed said it does not expect to reduce its balance sheet to pre-crisis levels, in part because commercial banks want to hold extra reserves following the crash. The report underlines the more dovish stance taken recently by the Fed. . .”
USAGOLD note: This article makes an attempt at explaining the arcane processes at work on the Fed’s balance sheet. We post it for those who would like something a little more complicated to occupy the grey matter over the upcoming weekend.
Image by Omeganian [GFDL (http://www.gnu.org/copyleft/fdl.html)] Wikimedia Commons/MagicCube7D
