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"Instant Answers": 50bp And QT As Expected

FED
  • Federal Funds Rate Range Maximum: 50bp hike to 0.75-1.00%
  • Total Dissenters / Number favoring a smaller hike / Number favoring a larger hike NO Dissenters

If the FOMC announces QT: (Yes it does):

  • Initial Treasury caps? $30B per month
  • Final Treasury caps? $60B per month
  • Initial MBS caps? $17.5B per month
  • Final MBS caps? $35B per month
  • Length of ramp-up period?3 months (Caps will start on Jun 1, three months later will rise to final cap levels)
  • Does the FOMC discuss tweaking the weighted average maturity of its portfolio at some point? No

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