Fed Will Start Tapering in December 2021.

What does the Fed tapering mean?

“Tapering” refers to the gradual slowing down of purchases of securities and bonds — a slowdown, that, the Fed says, will begin at some point soon. ... “There was so much tumult that the Fed felt it needed to make sure the pandemic health crisis didn't turn into a financial crisis.”

Is the Fed going to taper?

The Fed has signaled it will likely begin next month to taper its $120 billion in monthly purchases of Treasury bonds and mortgage-backed securities. About half of Fed policymakers believe a rate hike will need to follow in 2022, with a few suggesting it may have to come by the summer.