It does, however, imply that we will end net asset purchases under the APP once we judge that it is sufficiently likely that the rate forward guidance criteria are going to be fulfilled over the foreseeable future, while rates are going to be raised only when these conditions are actually met.
Third, we intend to continue reinvesting, in full, the principal payments from maturing securities purchased under the APP for an extended period of time past the date when we start raising our key policy rates. Again, the notion of an “extended period” is kept open to leave sufficient optionality in order to be able to respond to changes in the inflation outlook.