Barclays predicts the Federal Reserve will begin expanding its Treasury bond purchase program earlier than expected, indicating it will start buying Treasury bills in February of next year.

According to Odaily Planet Daily, after several key Federal Reserve officials hinted at expanding the balance sheet, Barclays strategists predict that the Fed will begin purchasing Treasury bills in February next year. Barclays strategist Samuel Earl wrote, "Given the market's focus on repurchase rates, the Fed is in risk management mode, and starting asset purchases earlier seems to be the most likely outcome."