"Fed"

The Federal Reserve will start easing its vast support for financial markets this month, marking a highly anticipated policy change as central bank leaders grapple with major price increases in some parts of the economy but plenty of room to grow in the labor market.

Federal Reserve officials meet this week as consumers and companies fret the U.S. economy is facing the most widespread supply crunch since the oil crisis of 1973.

"Participants noted that if a decision to begin tapering purchases occurred at the next meeting, the process of tapering could commence with the monthly purchase calendars beginning in either mid-November or mid-December," the Fed said in its minutes.

WASHINGTON - The Federal Reserve is under mounting pressure as it grapples with a slowing economic recovery, the abrupt departures of two regional banking presidents related to their stock-trading behavior, and a new call from a top Senate Democrat to replace Jerome Powell as chair.

"The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committees goals," the Fed said in a statement.

Stocks closed higher and the Treasury yield curve flattened after Federal Reserve officials signaled they would probably begin tapering their bond-buying program soon. The dollar strengthened versus its major peers, while oil gained.

WASHINGTON - Reflecting growing optimism for the economic recovery, the Federal Reserves top policymakers signaled on Wednesday they will ease supports for markets in November if the economy progresses as expected, while also moving up expectations for a rate hike in 2022.

Two-thirds of economists expect the tapering announcement at the Feds Nov. 2-3 meeting, with more than half seeing the tapering starting in December, a Bloomberg survey showed.

While Fed officials are unlikely to announce a plan for tapering asset purchases at their meeting on Sept. 21-22, Fed Chairman Jerome Powell could use that gathering to signal they are likely to start the process at their following session on Nov. 2-3, according to The Wall Street Journal.

WASHINGTON - A major decision for President Biden when it comes to the economy is whether to reappoint Jerome Powell to a second term as chair of the Federal Reserve Board. But that choice is increasingly fanning political flames and could depend on who else the White House assembles to round out the Fed roster.

Three of the Federal Reserves leading hawks, on the eve of the central banks annual Jackson Hole symposium, urged that policymakers move quickly to slow asset purchases despite the risk from the spreading delta variant.

These days, all the talk in financial markets is about when the Federal Reserve will start paring its debt purchases. Whats more important, for everything from stocks to bonds to currencies, is when they will end.