Although economists debate the impact on the real economy, QE acted like a turbo booster for the stock market. In October 2017, the Fed decided the economy was finally healthy enough to start shrinking its $4.5 trillion balance sheet . — Donald J. Trump (@realDonaldTrump) December 18, 2018Fed tops list of fearsThe recent market mayhem wasn't principally driven by the Fed's shrinking balance sheet. Of course, some think the focus on the balance sheet is misplaced — especially because the real economy looked solid in recent months. The market's sensitivity to the Fed's balance sheet is a fresh reminder that this is all a grand experiment.

Source: CNN January 10, 2019 12:33 UTC