Two days ago, the most influential and respect central bank, the US Federal Reserve increased interest rates.
“The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. With appropriate firming in the stance of monetary policy, the Committee expects inflation to return to its 2 percent objective and the labor market to remain strong. In support of these goals, the Committee decided to raise the target range for the federal funds rate to 1/4 to 1/2 percent and anticipates that ongoing increases in the target range will be appropriate. In addition, the Committee expects to begin reducing its holdings of Treasury securities and agency debt and agency mortgage-backed securities at a coming meeting.”
The balance sheet is now at US$ 8, 910,748 Million = $8,910 Billion = $ 8.9 Trillion of assets now owned by the US Fed.