On the eve, there was a lot of noise in the market around the announcement of the US Federal Reserve on the sale of commercial bonds. The media and economists have immediately announced that this is the first step towards curtailing stimulus from the Federal Reserve, and if so, then the financial markets are waiting for a powerful sale. Is it true? If you take the latest Fed balance sheet, you can see that the volume of commercial bonds is $26 billion, which is 0.3% of the Fed’s assets. For example, there are 64.3% of assets for treasury bonds account, and 28.3% for mortgage-backed securities.

Could the sale of 0.3% of assets cause a collapse in financial markets? The Federal Reserve made a decision to sell corporate bonds, inasmuch as it no longer sees the necessity to maintain soft financial conditions, as a surplus of dollar liquidity arose in the financial system long ago.

Trading recommendation: Buy 1.2110/1.2080 and take profit 1.2210.