The Fed recently reported they would begin to sell off the bond portfolio holdings they bought during the pandemic to stabilize the economy and increase money supply. They stated they will begin with their ETFs (Exchange Traded Funds) that they currently hold and the sales will be gradual and orderly. The New York Fed said it plans to complete the sales by the end of the year.

The Fed used Quantitive Easing efforts by purchasing 120 Billion Dollars in Treasuries and Mortgage Backed Securities each month during the pandemic. The overall corporate bond market is greater than 10 trillion in size so comparing this amount to what the Fed holds many feel will not overly upset anything.