TL;DR

The Fed just confirmed it will stop shrinking its balance sheet (“quantitative tightening”) on December 1st, effectively pausing its liquidity withdrawal. For markets, that means one less headwind—think steadier bond yields and a potential boost to risk assets as the central bank steps back from active balance‐sheet reduction.

Overall, investors could breathe a sigh of relief: with QT off the table, the focus shifts back to rate decisions and economic data, and the market might rally on the prospect of a more supportive Fed stance heading into year-end.

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