Walsh: It is still necessary for the Federal Reserve to reduce its balance sheet, but it will not act hastily According to Golden Finance, on July 1st, Federal Reserve Chairman Walsh stated on Wednesday that although he still insists on reducing the Fed's massive balance sheet, any major policy adjustments on this issue will take time and will be fully communicated. Walsh said, "The relevant decisions will be fully discussed in public, fully understood by the market, and will not be implemented until the financial market fully understands the content of these measures." He said, "It took us about 18 years to reach the current situation of a huge balance sheet. Frankly speaking, in my personal opinion, this already carries the color of fiscal policy." He also said that it still takes time to determine the direction of future balance sheet policies. Walsh said, "I am open-minded about this issue - we will not make a judgment beforehand. But I hope that interest rate policy remains the Fed's primary policy tool