Sudeep Reddy of The Wall Street Journal interviews James Bullard, president of the Federal Reserve Bank of St. Louis -- a voting member of the Federal Open
“„Mr. Bullard acknowledged that longer-term rates could rise “a little bit” but said the outcome would depend on how much is sold and over what period. He suggested starting with $100 billion in sales to assess the market impact. “It would still be very accommodative,” he said, but would allow the Fed to start normalizing its balance sheet.
“„“I would start slow and then move based on the economy,” Mr. Bullard said. “I would want to ensure markets that you would do it slowly over a longer period of time.”