The Fed's program to shrink its bloated balance sheet post-quantitative easing is drawing to a close earlier than planned as liabilities pose constraints.
Bluford “Blu” Putnam has served as Managing Director and Chief Economist of CME Group since May 2011. With more than 35 years of experience in the financial services industry and concentrations in central banking, investment research, and portfolio management, Blu serves as CME Group’s spokesperson on global economic conditions.
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The Fed's quantitative easing program helped to support equity prices and dampen volatility. With the central bank shrinking its balance sheet post-QE, there could be an increase in equity market volatility. Hedge your portfolio with futures and options.