Analysis: The Federal Reserve may announce the end of balance sheet reduction this week

ChainCatcher news, according to Jinshi reports, analysts from the research institution Wrightson predict that the Federal Reserve may be ready to announce the end of balance sheet reduction this week. Recent movements in the overnight lending market indicate that financing conditions have tightened, and bank reserves have fallen to levels close to what is considered balanced.

The Wrightson team stated that this move would be a cautious measure to avoid putting too much pressure on the funding market.