Analysts relieved as US Federal Reserve doubles reduction in bond-buying programme

Though they are split on whether three hikes next year is positive

Elliot Gulliver-Needham
clock • 3 min read
The Federal Reserve
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The Federal Reserve

The Federal Reserve’s Federal Open Market Committee voted unanimously to double the reduction in its monthly bond purchases to $30bn a month, meaning that the stimulus will now retire in March.

Importantly, though the committee chose to keep interest rates stationary, it predicted three rate hikes in 2022, a sharp increase from previous expectations. Analysts were not surprised by the decision...

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