Nothing says "Broken Money" quite like a central bank that is operating at structural losses now and has negative capital.

For the first time in modern history, the central bank of the world reserve currency is just structurally unprofitable.

https://m.primal.net/HYVX.png


It will be reset and you'll be happy


😳 https://image.nostr.build/578830144265e635fd93d24c2a6f2718f686293a868f38ffad2b7da51f9e2354.jpg


"Combining those New York Fed projections with the latest data on net income, we estimate that the Fed will carry this deferred asset until mid-2027, after which it will resume transfers to the Treasury."...🤔 https://www.stlouisfed.org/on-the-economy/2023/nov/fed-remittances-treasury-explaining-deferred-asset


Yep given a very long time they can eventually dig themselves out of the hole. Depends how high interest rates are by then though.


what happened to make the cumulative curve negative before 2011?


Tnx Lyn! Appreciate your work!


The cumulative scale is on the righthand side whereas weekly remittances is left. 2011 looks to be the base year of the graph, so zero on the cumulative.


Why do statistics like this start in 2011?


Bitcoin propaganda wants me to believe that the government "can just print money". Why is there a shortage then.


Wait, what? Is it true or not true that any interest paid between the treasury and the fed is zeroed out every year? Does this mean the treasury is bailing out the central bank?


I'm sure Biden will fix this in his next term.   We should just sell national mounments to China.... *See movie Americathon via 1979
https://void.cat/d/yCVp9fLkBSTtKgYJNYSCz.webp


There is an infinite amount of money at the federal reserve.


Insane. But everything's gonna be OK right?? 😂😂😂 right??

#bitcoin


We are winning


SOUNDS LIKE IT'S TIME TO nostr:npub1kns8r25ppwc2vpsv5cvhlpk94nfad76k64pkdzfnn704th2hmcksgq3582


I don’t get negative or positive capital at central banks. Isn’t it always infinite capital?


The Fed thinks it will pay this off in 2027!! Imagine any business that operates in a loss that long!

“But what happens when its costs exceed its income? In this case, the Fed creates a “deferred asset,” which is a negative liability whose value is the cumulative value of the shortfall in earnings. Once the Fed returns to earning a positive net income, it will pay down the value of the deferred asset until it reaches zero, at which point the Fed will resume sending remittances to the Treasury. As of Nov. 8, 2023, the Fed had accumulated a deferred asset of $116.9 billion. In April 2023, the New York Fed estimated that the Fed will return to positive net income in 2025. Combining those New York Fed projections with the latest data on net income, we estimate that the Fed will carry this deferred asset until mid-2027, after which it will resume transfers to the Treasury.”

https://www.stlouisfed.org/on-the-economy/2023/nov/fed-remittances-treasury-explaining-deferred-asset#:~:text=For%20most%20of%20the%20past,2022%2C%20remittances%20due%20became%20negative.


No. They can create new liabilities to buy more assets, and can do that infinitely. But they can’t create capital out of thin air.


From: nostr:npub1p0glyrz85nu86gevlhrsg9t3pg5uhrhq3sgwjmy8mzq0k09m30pq2jv9kv


Sounds the same to me.


Nothing says "Broken Money" quite like a central bank that is operating at structural losses now and has negative capital.

For the first time in modern history, the central bank of the world reserve currency is just structurally unprofitable.

https://m.primal.net/HYVX.png


That does not sound good.  Facing some out of this world Black Swan soon.  I can only imagine we can not imagine what unimaginable consequences this will bring.


One of the characters in my book remarked on this.  Not sure if this link will work, fingers crossed: https://iris.to/note1dsx2urd0l5jf637yjd69aqkm2qy3s0rx4cg7j5rnx30wp5hakumqzu6vkv


Lets see how long can the globalist loose money over power , the funny part with reality is it always slap you in the face


Yes, because why should banksters make profits?


The truth is not memeable. There's more nuance.


Crazy! Makes you wonder how much worse would things be if a 2007 style financial crash happened in this decade of print money like there’s no tomorrow.