Tom’s Weekly Newsletter November 3, 2021

Tom Gentile

Posted in Newsletter

By: Tom Gentile on November 3rd, 2021 • 1 min read

The Fed announced that they will likely start tapering later this month.

That was an announcement many already expected so that really came off as a no big deal situation. The markets do not like surprises and that clearly WASN’T a surprise.

They are still going to be pumping money into the economy, let’s not forget that. They will just be doing so at reductions of $15 billion each month — $10 billion in Treasury’s and $5 billion in mortgage-backed securities. They also said they will adjust that number as the data shows is needed.

They also said they will not make a decision on interest rates at this time…

All this resulted in the markets acting in a bullish fashion the remainder of the day. And near as one can tell the bull run can continue to run even longer.