🚨 FED Set to Officially End Quantitative Tightening (QT) on December 1, 2025 🚨
The U.S. Federal Reserve is expected to formally end its QT program this Monday, December 1, 2025.
This is a major shift in U.S. monetary policy after years of balance-sheet reduction aimed at controlling inflation.
For a long time, QT has meant one thing:
➡️ Less liquidity as the FED reduced its bond holdings.
Now, with QT ending, the FED will stop shrinking its balance sheet, opening the door for improved global liquidity and potentially more supportive market conditions.
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🔍 Why This Matters (My Take)
✔ Liquidity Set to Improve
Ending QT means the FED will no longer drain liquidity—financial conditions may loosen, giving markets some breathing room.
✔ Risk Assets Could Benefit
Equities, tech/growth stocks, emerging markets, and even crypto may see upside if liquidity starts flowing again. Historically, markets tend to react positively when monetary tightening pauses.
✔ Better Credit Conditions
Businesses could face fewer borrowing pressures, helping fuel economic expansion after years of tightening.
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📉📈 Market Mood: Cautious Optimism
Investors are hopeful, but not blindly bullish.
Everyone is waiting for the FED’s next signals—
👉 Will rate cuts follow?
👉 Or will the FED stay neutral for a while?
Whatever comes next, the end of QT is a clear sign:
🟢 A more flexible, growth-friendly phase of U.S. monetary policy may be starting.
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