FOMC minutes: Massive central bank balance sheet and stock prices in focus

|By:, SA News Editor

Minutes from the March 14-15 FOMC meeting show plenty of discussion about the $4.5T Fed balance sheet, and plans to begin reducing it next year.

There was also a discussion about stocks, and some participants viewed prices at getting a bit perky. Also noted were that other asset classes have showed big gains in recent months.

Turning to fiscal policy, some aren't expecting any significant stimulus until 2018. In view of the high amount of uncertainty, about half didn't incorporate definite assumptions about fiscal policy in their forecasts.