Aust bond prices fall on US Fed tapering December 19, 2013 - 5:10PM Australian bond futures prices are lower after the US Federal Reserve announced it would begin tapering its bond purchasing program. Bond prices are lower but the reaction has been muted, with financial markets having anticipated the start of tapering for some time, Colonial First State economists said. "The Fed is at pains to emphasise the point that a moderation in their quantitative easing program is not the same as a tightening of monetary policy and that any actual increase in the Fed Funds target rate is still a long way off," the economists said.