Reducing the balance sheet by 500 billion, liquidity will become tight again, so it's best to sell off risk assets first.

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BlockBeatNews
Federal Reserve Board Member Waller: The Federal Reserve’s balance sheet can be reduced by $300 billion to $500 billion
BlockBeats News, May 22 — Federal Reserve Board Member Waller stated, "We can reduce the Federal Reserve's balance sheet by $300 billion to $500 billion." (Jinshi)
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