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The Boston Globe

Business

Fed notes reveal its bond-buying fears

WASHINGTON — Several Federal Reserve policy makers suggested last month that the Fed might have to scale back efforts to keep borrowing costs low for the foreseeable future.

Minutes of the Fed’s Jan. 29-30 policy meeting released Wednesday showed that some officials worried about the Fed’s plan to keep buying $85 billion in bonds each month until the job market has improved substantially. They expressed concern that the continued purchases could eventually escalate inflation, unsettle financial markets, or cause the Fed to absorb losses once it begins selling its investments.

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