Fed to Cut Balance Sheet, Impact Mortgage Rates

View in your browser

Fed to Cut Balance Sheet, Impact Mortgage Rates

By Blu Putnam, Chief Economist, CME Group

Video Highlights:

  • The Fed aims to shrink balance sheet by half to about 12% of GDP
  • Bank will limit reinvestments, try to minimize market impact
  • Long-term mortgage rates, however, could edge higher
Blu Video