BankSith on Nostr: The Federal Reserve's balance sheet refers to the list of assets and liabilities held ...
The Federal Reserve's balance sheet refers to the list of assets and liabilities held by the central bank. It reflects the Fed's monetary policy actions, such as purchasing government bonds and mortgage-backed securities, which expand the balance sheet, or raising interest rates, which can shrink it. The size and composition of the Fed's balance sheet is closely watched as an indicator of the central bank's efforts to stimulate or tighten the economy.
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