Record deficit

[Oddball]

The Fed spent $9 trillion in Bush's last 4 months and they didn't ask Congress for approval.

The Fed has not spent $9 trillion. What the Fed has done is "invested" - meaning that they have swapped assets - a little less than a trillion dollars, still a lot, but not $9 trillion. That number is a reference to all the liabilities, explicit and implicit, the Fed has guaranteed.

Don't spoil booboo's manic paranoid ravings with the facts.

 

[Toro]

The Fed spent $9 trillion in Bush's last 4 months and they didn't ask Congress for approval.

The Fed has not spent $9 trillion. What the Fed has done is "invested" - meaning that they have swapped assets - a little less than a trillion dollars, still a lot, but not $9 trillion. That number is a reference to all the liabilities, explicit and implicit, the Fed has guaranteed.

$9 trillion worth of transactions over the past eight months.

I'd say the bankers and GOP are in collusion together trying to sabotage Obama.

I suspect he'll be blamed for this when the $9 trillion is added to the debt.

And still hardly a peep about this from the liberal media? I'm beginning to think they aren't so liberal after all.

But if anything, this proves that as I suspected, the bankers really own this country.

But to you, this proves that Democrats are no different than Republicans. I don't blame them. People like you tend to defend the bankers, even when they spend $9 trillion dollars in 8 months.

But if Obama spends $700 billion in 4 years? TEABAG HIM!!

I'm pissed that Obama says he wants to give the Federal Reserve more power. Are you?

I have no opinion though I am bothered somewhat that they are giving the institution that was probably the biggest cause of the housing bubble more powers. There has to be a complete re-think in economics on how to conduct monetary policy.

As for the $9 trillion, most of that is guarantees. So, for example, the Fed has backstopped all investment-grade commercial paper in this country. They have backstopped the debt of the biggest banks. They have backstopped money market funds. The government has increased FDIC protection. Those are guarantees. Its like if you have guaranteed to pay the mortgage of your brother. If your brother pays, no problem. If he doesn't pay, then you have to pay. That's the position the Fed and the Treasury are in.

There will be losses, but it won't be $9 trillion. It will probably be in the couple hundred billion range, still a lot but not $9 trillion.

Last year, the Fed made $43 billion, almost all of which was transferred to the US government.

http://www.economist.com/displayStory.cfm?story_id=13579025

 

[sealybobo]

The Fed has not spent $9 trillion. What the Fed has done is "invested" - meaning that they have swapped assets - a little less than a trillion dollars, still a lot, but not $9 trillion. That number is a reference to all the liabilities, explicit and implicit, the Fed has guaranteed.

$9 trillion worth of transactions over the past eight months.

I'd say the bankers and GOP are in collusion together trying to sabotage Obama.

I suspect he'll be blamed for this when the $9 trillion is added to the debt.

And still hardly a peep about this from the liberal media? I'm beginning to think they aren't so liberal after all.

But if anything, this proves that as I suspected, the bankers really own this country.

But to you, this proves that Democrats are no different than Republicans. I don't blame them. People like you tend to defend the bankers, even when they spend $9 trillion dollars in 8 months.

But if Obama spends $700 billion in 4 years? TEABAG HIM!!

I'm pissed that Obama says he wants to give the Federal Reserve more power. Are you?

I have no opinion though I am bothered somewhat that they are giving the institution that was probably the biggest cause of the housing bubble more powers. There has to be a complete re-think in economics on how to conduct monetary policy.

As for the $9 trillion, most of that is guarantees. So, for example, the Fed has backstopped all investment-grade commercial paper in this country. They have backstopped the debt of the biggest banks. They have backstopped money market funds. The government has increased FDIC protection. Those are guarantees. Its like if you have guaranteed to pay the mortgage of your brother. If your brother pays, no problem. If he doesn't pay, then you have to pay. That's the position the Fed and the Treasury are in.

There will be losses, but it won't be $9 trillion. It will probably be in the couple hundred billion range, still a lot but not $9 trillion.

Last year, the Fed made $43 billion, almost all of which was transferred to the US government.

The Federal Reserve: The hedge fund of Foggy Bottom | The Economist

I hope you are right. Either way, this is a bad deal and we should take the Federal Reserve out of the bankers control, not give them more power. Unbelievable how much they own this country. Rothschild said, "give me control of a nations currency and I care not who makes their laws".

They made $43 billion? That's an illusion. Have you seen the national debt ticker lately? That's the money we owe them. And they just doubled what we owe them, unless you are right, and there is no way of telling.

U.S. National Debt: 10.9 Trillion & Clicking

$10 trillion and climbing. And they just loaned out $9 trill? And we don't know to who?

I don't buy this. The Fed in 8 months loaned out $9 trillion and won't tell us who they loaned the money to. So if they don't pay, who's guaranteeing the loans? If you say the Fed is, then they are guaranteeing it with our tax dollars.

This works out to $30k per American. Did they really need that much? Why didn't they just give us the money and we would have paid off our loans. Problem solved. But that's rediculous, right? But this isn't?

And I don't buy it the loss/cost will only be in the billions either. All the TARP loans worked this way. They loaned billions for 60 cents on the dollar, and then the stock tanked, so they hurried up and paid back the loan when it was below 50 cents on the dollar. So we got scammed.

Just the fact they told us late last year about $750 billion but didn't tell us about the $9 trillion has to alarm you.

But it doesn't alarm Dude because he trusts the bankers.

 

[sealybobo]

The Fed spent $9 trillion in Bush's last 4 months and they didn't ask Congress for approval.

The Fed has not spent $9 trillion. What the Fed has done is "invested" - meaning that they have swapped assets - a little less than a trillion dollars, still a lot, but not $9 trillion. That number is a reference to all the liabilities, explicit and implicit, the Fed has guaranteed.

How do you or Toro know when the headlines read:

Federal Reserve Cannot Account for $9 Trillion video

One Penny Sheet » Federal Reserve Cannot Account for $9 Trillion video

You got a link backing up your opinion? Didn't think so.

 

[Toro]

The Fed spent $9 trillion in Bush's last 4 months and they didn't ask Congress for approval.

The Fed has not spent $9 trillion. What the Fed has done is "invested" - meaning that they have swapped assets - a little less than a trillion dollars, still a lot, but not $9 trillion. That number is a reference to all the liabilities, explicit and implicit, the Fed has guaranteed.

How do you or Toro know when the headlines read:

Federal Reserve Cannot Account for $9 Trillion video

One Penny Sheet » Federal Reserve Cannot Account for $9 Trillion video

You got a link backing up your opinion? Didn't think so.

You do not understand your own link. This is what it said.

The fed cannot account for the whereabouts of $9 trillion worth of off-balance sheet transactions over the course of the past eight months. Nor can it explain the $1 trillion expansion of the Fed’s balance sheet since last September.

You have to understand what a balance sheet is. It is an accumulation of all your assets and liabilities. Assets are what you own. Liabilities are what you owe. An off balance sheet transaction is a transaction that is not included on your balance sheet.

Financial deals and arrangements that can have a material affect on a company but are structured in such a way that they do not show up on a company’s balance sheet and do not affect a company’s borrowing capacity.

off-balance sheet transactions - Definition of off-balance sheet transactions at YourDictionary.com

These off-balance sheet transactions are not money that is "spent." In an office balance sheet transaction, assets and liabilities are swapped but not recorded on the balance sheet.

Here is the Fed's most recent balance sheet.

FRB: H.4.1 Release--Factors Affecting Reserve Balances--June 18, 2009

What it does not include are money market guarantees.

Money Market Investor Funding Facility - Federal Reserve Bank of New York

The Fed guarantees commercial paper

Commercial Paper Funding Facility: Frequently Asked Questions - Federal Reserve Bank of New York

The Federal Reserve guarantees bank debt

Obama Records Pledge Tested By Citigroup Guarantees (Update1) - Bloomberg.com

And so on.

Some of that money most certainly will be lost but you have to understand that the Fed is guaranteeing the debt of others. It hasn't taken $9 trillion and spent it on things. That is simply wrong.

 

[sealybobo]

Ohh look, Obama's Budget this year and all the nail outs means this year the deficit will be 4 TIMES last years. 50 cents on every dollar spent will be deficit spending.

White House: Budget deficit to top $1.8 trillion

Yup remind us again how bad Bush was?

So then you admit Trump is bad?

Federal Spending Sets Record Through June; Deficit Hits $747,115,000,000

The federal government spent a record $3,355,970,000,000 in the first nine months of fiscal 2019 (October through June), according to the Monthly Treasury Statement released today.

Prior to this fiscal year, the most the federal government had ever spent in the October-through-June period was in fiscal 2018, when the Treasury doled out $3,199,795,700,000 in constant June 2019 dollars. Before last year, the most the federal government had ever spent in the first nine months of the fiscal year was in fiscal 2009, when it spent $3,176,577,910,000.

Obama had an excuse. He was getting us out of the Bush Great Recession. What's Trump's justification for his numbers?

Yes, compared to Trump Bush was great.

 

[sealybobo]

According to his budget projections, he (Trump) would add $6.2 trillion in deficits during his first term. It would also be a 31 percent increase, putting him in the top 10 by percent.