Morgan Stanley economists Seth Carpenter and Michael Gapen said in the report that the bank's benchmark forecast is that the Federal Reserve will reduce the balance sheet size by about 1.5 trillion US dollars within about 2 years, probably starting as early as the first quarter of 2027; a reasonable reduction range is 600 billion to 2.5 trillion US dollars.

Zhitongcaijing · 1d ago
Morgan Stanley economists Seth Carpenter and Michael Gapen said in the report that the bank's benchmark forecast is that the Federal Reserve will reduce the balance sheet size by about 1.5 trillion US dollars within about 2 years, probably starting as early as the first quarter of 2027; a reasonable reduction range is 600 billion to 2.5 trillion US dollars.