The Federal Reserve’s so-called taper talk could keep markets on edge through the summer
People walk past the Federal Reserve building on March 19, 2021 in Washington, DC.
Olivier Douliery | AFP | Getty Images
The Federal Reserve is facing a big summer ahead as markets look for clues about when the ultra-easy policy measures put in place during the pandemic might finally start to unwind.
Investors got their first indication this week when minutes from the central bank’s last policy meeting featured a discussion in which some members said it would be time soon to talk about rolling back at least one of the key tools the Fed has used to guide the economy.
The critical part of the meeting summary released Wednesday noted that “a number of participants suggested that if the economy continued to make rapid progress toward the Committee’s goals, it might be appropriate at some point in upcoming meetings to begin discussing a plan for adjusting the pace of asset purchases.”