Fed's Balance Sheet May Soar Past Crisis-Era Levels in a Decade

The video discusses the Federal Reserve's ongoing purchase of US Treasurys, focusing on maintaining balance sheet levels and addressing the flat treasury curve. It highlights the impact on borrowing, banks, and the broader economy, while also considering global monetary policies. Communication challenges and potential risks in the treasury market are also explored.

What is the primary reason for the Federal Reserve's continued purchasing of Treasurys?

How does the growth of currency in circulation affect the Federal Reserve's reserves?

What impact does a flattening yield curve have on banks, according to the discussion?

What challenges does the Federal Reserve face in communicating its decisions regarding Treasury purchases?

In what ways might the current size of the Treasury market affect the impact of the Federal Reserve's investments?