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Wednesday, June 11, 2014

Monetary

News                                                                                                                             
Bloomberg | Fed Prepares to Maintain Record Balance Sheet for Years
Federal Reserve officials, concerned that selling bonds from their $4.3 trillion portfolio could crush the U.S. recovery, are preparing to keep their balance sheet close to record levels for years.

Econ Comments & Analysis                                                                                            
Bloomberg | What If the Fed Has Created a Bubble?
Investors might be surprised to learn that they have a lot riding on something that they pay very little attention to: macro-prudential regulation, or what central banks and other government agencies do to reduce the risk of systemic financial disasters.

Blogs                                                                                                                             
WSJ | Two Fed Officials Suggest Reverse Repos May Need Borrowing Limits, After All
The presidents of the New York and Boston Fed banks have made the case  in recent weeks that financial stability concerns could lead to changes in the way a program to control short-term interest rates is finally implemented.