The Federal Reserve is in wait-and-see mode following the surge in bond yields and mortgage rates that partly reversed on Friday, with officials unwilling to be bounced into any knee-jerk policy reaction.
They plan to wait at least until their policy meeting late this month before deciding whether to extend their purchases of Treasuries and other assets.
Policymakers think the strategy equivalent to keeping policy on hold would involve some additional purchases beyond the amounts already declared but not necessarily very large ones.
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