The Fed owns over $4 trillion worth of U.S. garbage paper and it needs to unload it without collapsing the global financial system. Not an easy task. Every time the debt matures and the Fed doesn’t buy an equivalent amount, stocks drop. Therefore, Quantitative Tightening is directly correlated with stocks falling. Are you ready for the rollercoaster to begin?
^DJI 24,475.50 259.45 1.07% : DOW - Yahoo Finance
https://ca.finance.yahoo.com/quote/%5EDJI/
All Federal Reserve Banks: Total Assets | FRED | St. Louis Fed
https://fred.stlouisfed.org/series/WALCL
20180627-spx.png (1748×1271)
20180627-fedbs.png (854×677)
20180627-qtdays.png (421×337)
