Free Trial

MNI BRIEF: Treasuries & MBS Likely Tapered in Tandem- Powell

WASHINGTON (MNI)

Federal Reserve Chair Jerome Powell said the central bank is likely to taper mortgage and Treasury bonds at the same time rather than leading with MBS in order to tame a hot housing market.

"I think we will taper them at the same time, it seems likely, based on where people are now," Powell told reporters Wednesday.

"TheideaofreducingMBSpurchasesatasomewhatfasterpace than Treasuriesdoeshavesomeattractionforsomepeople," he said. "It'ssomethingthatwe'llbecontinuingtodiscuss."

MNI Washington Bureau | +1 202 371 2121 | pedro.dacosta@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.