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Fed’s Curve Flattening Starts To Flatten Stock Prices

The Fed has cut back its POMO purchases to an average of $8 billion per day of Treasuries and $6 billion of MBS this week. That’s down from $10 billion and $8 billion last week, and hundreds of billions in the peak of the panic in April.

The effects of that are beginning to show up in stock prices.  Be prepared because here’s what happens next.

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