Markets got the message: policy tightening is shifting from speed to strategy. Waller’s stance is clear — the Fed should shrink its balance sheet in a measured, cautious way to avoid liquidity shocks and protect financial stability. Rate policy + balance sheet normalization = a calibrated path forward. Investor takeaway: short-term volatility is possible, but policymakers are aiming for a more predictable direction. What do you think — is slow tightening better than fast action? 📉📊
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#WallerSaysToCautiouslyShrinkBalanceSheet
Markets got the message: policy tightening is shifting from speed to strategy. Waller’s stance is clear — the Fed should shrink its balance sheet in a measured, cautious way to avoid liquidity shocks and protect financial stability.
Rate policy + balance sheet normalization = a calibrated path forward.
Investor takeaway: short-term volatility is possible, but policymakers are aiming for a more predictable direction.
What do you think — is slow tightening better than fast action? 📉📊