When will the Federal Reserve slow down its balance sheet reduction? Opinions on Wall Street's major banks vary

With the Federal Reserve signaling a slowdown in its balance sheet reduction plan, market participants are speculating on when quantitative tightening will begin to stop. Bank of America and Barclays strategists expect the Fed to start tapering in April and end by mid-summer. Deutsche Bank anticipates a gradual exit from quantitative tightening starting in June, while Morgan Stanley tells clients that policymakers want to give the market ample time for preparation and won't take action before September. Speculation about the Fed's plans has intensified following remarks by Dallas Fed President Lorie Logan over the weekend. She suggested that officials may need to slow down the pace of balance sheet reduction as signs of liquidity tightness emerge in financial markets. "The biggest question is timing," said Gennadiy Goldberg, Director of U.S. Rate Strategy at TD Securities. The firm expects the Fed to pause its balance sheet reduction before June.