[Barclays: From a risk management perspective, the Fed should end the balance sheet reduction ahead of schedule] Golden Finance reported that Barclays believes that the Fed has stated that it can reduce its balance sheet while lowering interest rates, but for risk management considerations, it is recommended to end the balance sheet reduction ahead of schedule. Barclays still expects the Fed to end quantitative tightening in December, and the Federal Open Market Committee (FOMC) will announce it in November. "In 2019, the scarcity of reserves exacerbated the already tense situation in the repo market, pushed up financing rates sharply, and caused serious disturbances in the U.S. Treasury market," Barclays strategist Joseph Abate wrote in a report to clients. "We believe this outweighs the risks of maintaining reserves at a slightly higher level than necessary."