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Stock impact report

The Fed's latest meeting wasn't just about interest rates. Here's why you shouldn't overlook its balance sheet announcement [Yahoo! Finance]

First American Corporation (New) (FAF) 
Last first american corporation (new) earnings: 4/23 06:45 am Check Earnings Report
US:NYSE Investor Relations: investors.firstam.com
Company Research Source: Yahoo! Finance
The Federal Open Market Committee (FOMC) also announced that it plans to shrink its massive $7.4 trillion balance sheet at a slower pace — a step that isn't as high-profile as U.S. central bankers' interest rate moves but consequential for Americans' finances nonetheless. The Fed's balance sheet ultimately ends up impacting the money supply and availability of credit in the economy. U.S. central bankers also use their bond portfolio to influence the longer-term interest rates that they don't typically control, such as the 30-year fixed-rate mortgage and the benchmark 10-year Treasury yield. But perhaps the most important reason the upcoming moves are important: Fed officials are hoping to avoid the risk of shrinking the money supply too much. Taking the process too far risks spurring unnecessary market volatility that could make the Fed's inflation fight even harder. One such case from 2019 caused interest rates to spike in the market for short-term repurchase agreements — prompt Show less Read more
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