NEW YORK (Reuters) - The U.S. Federal Reserve might announce the end of bank reserves run-off, perhaps as early as Wednesday in a move that would help stabilize money markets, J.P. Morgan and UBS economists said on Wednesday.
"If the Fed announces today that they want no more draining of reserves, they will have to buy Treasuries to repaying MBS plus Treasuries to match the growth of currency," UBS economists wrote in a research note.