A November 3rd taper announcement looks a forgone conclusion after recent supportive comments from officials and the minutes to the September FOMC meeting which outlined a potential timetable. It seems set to start in November with asset purchases reduced by $15bn each month, split $10bn Treasuries and $5bn Agency MBS. The plan is for it purchases to be reduced to zero by June, but with the economy growing, creating jobs and likely experiencing elevated inflation through to at least the middle of next year we think it could be concluded more swiftly. It’s clear that the US economy entered a soft patch in the third ... (full story)