Investors brace for quantitative tightening as Fed sends hawkish message

Stocks extended declines after the release of the minutes on Wednesday, led by a selloff in technology and growth shares

Another barometer of Federal Reserve hawkishness is making a bigger appearance on investors’ dashboards: quantitative tightening.
 

Minutes from the Fed's December meeting released on Wednesday showed that officials had discussed shrinking the U.S. central bank's overall asset holdings as well as raising interest rates sooner than expected to fight inflation, with "many" judging the appropriate pace of the Fed's balance sheet reduction would be faster this time.
 

Investors said the hawkish signal bolsters the case for those who believe the central bank will need to act more decisively in order to contain inflation, and could fuel further bets on higher