Fed To Accelerate Withdrawal Of Economic Aid As Prices Surge

The video discusses the Federal Reserve's decision to accelerate the reduction of its bond-buying program, initially used as a pandemic stimulus. This decision is driven by a strengthening labor market and persistent inflation pressures, partly due to prolonged supply chain issues. The committee plans to double the pace of reductions, with expectations to cease asset purchases by mid-March. Ending the bond-buying program sooner allows the Fed to focus on raising policy interest rates, with potential rate hikes in 2022 to manage inflation.

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