Fed cuts bond-buying stimulus to $45 billion a month - MarketWatch

Fed cuts bond-buying stimulus to $45 billion a month - MarketWatch

 The Federal Reserve on Wednesday voted unanimously to reduce its bond-buying stimulus program for the fourth straight meeting, to $45 billion a month from $55 billion. The vote was 9-0. The Fed also said the U.S. economy "has picked up recently." Starting May 1, the Fed will reduce monthly Treasury purchases to $25 billion a month and trim mortgage purchases to $20 billion. At the height of its program, the Fed was buying $85 billion a month in Treasurys and mortgage-backed securities in an effort to keep interest rates low and spur the U.S. economy. The central bank now thinks the economy is strong enough to do without the stimulus and the Fed aims to end the bond-buying program by late 2014, barring any sudden deterioration in growth