An analysis of the Federal Reserve's recent $3.5 billion reduction in its securities portfolio, part of ongoing quantitative tightening efforts.

Interest rates have been cut at the last three meetings in a row, after gradually increasing rates for three years.

Wall Street is still betting on interest rate cuts by the Federal Reserve this year, even as inflation persists and fiscal policy remains a guessing game under Mr.President Donald Trump. A Jan. 28 CNBC survey showed that 65% of respondents believe the Fed will lower rates twice in 2025,