The Federal Open Market Committee released its meeting minutes this morning. The minutes showed that most policymakers believe the Federal Reserve should start reducing its $4.5 trillion US dollars balance sheet this year. This move can result in tightening their monetary policy further.
However, the question of when to change their balance sheet policy will depend on economic and financial conditions.
In other news, investors are wary ahead of a potentially tense meeting between US President Donald Trump and Chinese President Xi Jinping, the first between the world’s two most powerful leaders. They will be meeting today and tomorrow.