Oddbean new post about login | logout I am sure it is nothing but you may want to buy more #bitcoin, you know just in case. https://m.primal.net/ICkI.png
Can you explain for the slow kids in the back over here?
Payments by the Fed to the US Treasury. The Fed sends "profits" to the treasury, when they exist. They are now literally printing away their own profit.
Ahh, yea not great. Thanks for that.
Source?
https://fredblog.stlouisfed.org/2023/11/federal-reserve-remittances-to-the-us-treasury/
TL;DR From the period that this data exists, 2011 to 2022 the FED was making a profit on their operations in each period. (Blue line graph) From the period of 2022 to the present they are operating at a loss in each period. (Red line graph) In the graphic that shows both the profit as a flow and the loss is a stock amount. So when the Fed earns a profit they give it to the US Treasury, when they operate at a loss they barrow from themselves to pay off before they would return profit to the US treasury. https://image.nostr.build/5715ee946bb634463b21159976cd5189dd66d91643f5f4c03762101b67811932.jpg https://image.nostr.build/507598adfd09f2ba8b63c2912cef0539d64c8d754078c518a46cb6b13ad02365.jpg https://image.nostr.build/777355ec9976ae2985cb70b9a805d824bd9eedbc8e0e46ac164e16ba101cd8d8.jpg
I tried to look this up but I don’t get it. What does this chart say is happening and what does that mean for the currency and economy?
