WASHINGTON, July 27 -- The International Monetary Fund (IMF) said on Thursday that the monetary policy effects of U.S. Federal Reserve's balance sheet unwinding are expected to be small.
"Under the announced plan, if normalization were to begin at end-2017, the balance sheet would decline by 318 billion U.S. dollars in 2018 and by 409 billion dollars in 2019," the IMF staff said in its annual report of Article IV consultations with U.S. authorities on the U.S. economy.
"Such a reduction could have a monetary policy impact equivalent to a 22 basis point increase in the federal funds rate over the next two years," the report said.
Given the small monetary effects, the IMF believed "it is appropriate that the normalization of the balance sheet proceeds independently of changes in the federal funds rate and in inflation and employment outcomes," unless the U.S. economy is hit by a significant negative shock.
The Fed last month raised the target range of the federal funds rate by a quarter percentage point to 1-1.25 percent, the fourth rate hike since December 2017, and unveiled a plan to trim its balance sheet later this year.
The Fed's balance sheet has ballooned to around 4.5 trillion U.S. dollars following three rounds of quantitative easing programs to withstand the impact of the 2008 global financial crisis.
The central bank signaled on Wednesday that it would begin unwinding its holdings of U.S. Treasury bonds and other mortgage-backed securities "relatively soon," possibly at its next policy meeting on Sept. 19-20.
In response to the report, U.S. authorities said Fed holdings of securities are expected to decline "in a gradual and predictable manner."
"Under the baseline outlook, the intention is for changes to the balance sheet to be quietly operating in the background over the next several years with minimal effects on financial conditions," U.S. authorities said, suggesting Fed's future balance sheet "would be appreciably below that seen in recent years but larger than before the financial crisis."
Nightingale的故事
The Snow-Daughter and Fire-Son
牛津小学英语二年级说课稿 Is This Your Skirt ?”A Let’s Learn
英文名著精选阅读:《红字》第十九章(上)
The Wind and the Sun
人教版小学英语一年级说课稿 Section B 3a, 3b &3c (Go for it 2A)
The Lamb and the Wolf
牛津小学英语一年级说课稿 Unit6 At the zoo PartA
The Monkeys and Their Mother
节日文化:圣诞贺卡的由来
老外的"亲戚关系"也复杂(cousin and removed)
An Invitation故事
The Panda in China
The Two Men Who Were Enemies
小学英语一年级说课稿 Hello
人教版小学英语二年级说课稿 go for it
人教版小学英语二年级说课稿 Unit 4 Part B
牛津小学英语一年级说课稿 Let'spaint
人教版小学英语一年级说课稿 Fun with English
人教版小学英语一年级说课稿 My Family
The Hares and the Lions
英语文化:美式爱情
英文名著精选阅读:《小妇人》第三章:劳伦斯家的男孩 第8节
英文名著精选阅读:《小妇人》第三章:劳伦斯家的男孩 第9节
英文名著精选阅读:《理智与情感》第七章 第2节
人教版小学英语一年级说课稿 Where’s the
语言学:学英语多少之英语方言
牛津小学英语一年级说课稿 We Love Animals
The Farmer and the Fox
Sir Tim Berners-Lee, and domestic data storage
不限 |
英语教案 |
英语课件 |
英语试题 |
不限 |
不限 |
上册 |
下册 |
不限 |