Fed Posts Largest-Ever Annual Operating Loss.....$114.3 billion last year!

[Tom Paine 1949]

The Federal Reserve ran an operating loss of $114.3 billion last year, its largest ever, a consequence of its campaign to aggressively support the economy in 2020 and 2021, then jacking up interest rates to combat high inflation….

Waiting to hear from the resident "experts" how this is of no concern.

It is crucial to understand that the Fed is taxed 100% on any operating profits it makes, and its “loss” is an unusual temporary operating loss. Sure, it is a loss of tax income to the U.S. Treasury — but that is a completely different animal. The U.S. Treasury handles the government checking accounts, issues bonds to pay for shortfalls in revenue, and is what people refer to when they talk about a “federal government deficit,” or deficit spending.

A good explanation here:

Fed Reports Operating Loss of $114 billion for 2023, as Interest Expense Blows Out

by Wolf Richter • Jan 12, 2024

… But losses don’t matter to the Fed. The Fed creates its own money, and so it cannot become insolvent. And its capital, which is capped by Congress, is not impacted by the losses because the Fed carries the losses as a “deferred asset” in a liability account on its balance sheet, rather than taking the losses against capital. So its “total capital” on its balance sheet has actually ticked up by $1 billion over the past 12 months to $42.8 billion.

The losses do matter to the Treasury Department though – which is no longer getting the remittances from the Fed. And so the Fed’s losses are swelling the deficit and the debt indirectly via the absence of remittances …

Since 2001, the Fed has remitted $1.36 trillion to the US Treasury. Even over the first eight months in 2022, the Fed still remitted $76 billion to the US Treasury. The remittances stopped in September when it started to lose money.

— Fed Reports Operating Loss of $114 billion for 2023, as Interest Expense Blows Out | Wolf Street

 

[Hollie]

You are a bot, and not a particularly well programmed one at that,

So no. You shouldn’t expect anyone to take you seriously when your contributions amount to pointless cutting and pasting of cartoons.

 

[leftwinger]

Of note: the new “Speaker” has done nothing. Paul Ryan and him were pictured exiting his Office together in the first few weeks. More doom and gloom//

 

[Toddsterpatriot]

CAn you back that number up?

Debt to the Penny | U.S. Treasury Fiscal Data

Debt to the Penny is the total debt of the U.S. government and is reported daily. It is made up of intragovernmental holdings and debt held by the public.

fiscaldata.treasury.gov

 

[Crepitus]

View attachment 887865

View attachment 887867

Debt to the Penny | U.S. Treasury Fiscal Data

Debt to the Penny is the total debt of the U.S. government and is reported daily. It is made up of intragovernmental holdings and debt held by the public.

fiscaldata.treasury.gov

By percentage change:



That's tRump at 33.1% and Joe at 8.8


Funny how seven of the top ten and all of the top 4 are republicans.

Franklin D. Roosevelt	$178,464,714,660.98	791.8% 791.8% 791.8%
Woodrow Wilson	$23,036,251,492.50	789.9% 789.9% 789.9%
Ronald Reagan	$1,604,482,712,041.16	160.8% 160.8% 160.8%
George W. Bush	$4,217,261,484,712.34	72.6% 72.6% 72.6%
Barack Obama	$7,663,615,710,425.00	64.4% 64.4% 64.4%
George H. W. Bush	$1,207,189,695,334.34	42.3% 42.3% 42.3%
Richard Nixon	$121,339,561,890.14	34.3% 34.3% 34.3%
Donald Trump	$6,700,491,178,561.60	33.1% 33.1% 33.1%
Jimmy Carter	$208,861,000,000.00	29.9% 29.9% 29.9%
Bill Clinton	$1,262,689,326,747.48	28.6% 28.6% 28.6%
Theodore Roosevelt	$483,479,337.65	22.6% 22.6% 22.6%
Gerald Ford	$87,244,000,000.00	16.4% 16.4% 16.4%
Herbert Hoover	$2,555,913,960.03	15.1% 15.1% 15.1%
Lyndon B. Johnson	$35,865,507,168.58	11.5% 11.5% 11.5%
Joe Biden	$2,499,993,043,258.10	8.8% 8.8% 8.8%
William Howard Taft	$228,827,633.12	8.7% 8.7% 8.7%
Dwight D. Eisenhower	$20,259,699,209.80	7.6% 7.6% 7.6%
John F. Kennedy	$16,888,694,386.36	5.8% 5.8% 5.8%
Harry S. Truman	$

 

[Oddball]

he Federal Reserve ran an operating loss of $114.3 billion last year, its largest ever, a consequence of its campaign to aggressively support the economy in 2020 and 2021, then jacking up interest rates to combat high inflation.

The losses added to already large federal deficits that have required bigger auctions of Treasury debt. The central bank’s losses could continue for as long as short-term interest rates remain near current levels. That has the potential to fuel new political attacks on the Fed, though there have been no signs of that so far.

The U.S. central bank announced preliminary, unaudited results of its 2023 financial statements on Friday.

Of course it was announced on a Friday.

LOL....I find that hard to believe.......The entity that makes money out of thin air lost money?

Generally Accepted Accounting Principles would call this a problem. “Deferred Assets”. Well past time to Audit the Fed.

Waiting to hear from the resident "experts" how this is of no concern.

Imagine that...The people with the magic money making printing press lost money.

 

[Toddsterpatriot]

By percentage change:



That's tRump at 33.1% and Joe at 8.8


Funny how seven of the top ten and all of the top 4 are republicans.

Franklin D. Roosevelt	$178,464,714,660.98	791.8% 791.8% 791.8%
Woodrow Wilson	$23,036,251,492.50	789.9% 789.9% 789.9%
Ronald Reagan	$1,604,482,712,041.16	160.8% 160.8% 160.8%
George W. Bush	$4,217,261,484,712.34	72.6% 72.6% 72.6%
Barack Obama	$7,663,615,710,425.00	64.4% 64.4% 64.4%
George H. W. Bush	$1,207,189,695,334.34	42.3% 42.3% 42.3%
Richard Nixon	$121,339,561,890.14	34.3% 34.3% 34.3%
Donald Trump	$6,700,491,178,561.60	33.1% 33.1% 33.1%
Jimmy Carter	$208,861,000,000.00	29.9% 29.9% 29.9%
Bill Clinton	$1,262,689,326,747.48	28.6% 28.6% 28.6%
Theodore Roosevelt	$483,479,337.65	22.6% 22.6% 22.6%
Gerald Ford	$87,244,000,000.00	16.4% 16.4% 16.4%
Herbert Hoover	$2,555,913,960.03	15.1% 15.1% 15.1%
Lyndon B. Johnson	$35,865,507,168.58	11.5% 11.5% 11.5%
Joe Biden	$2,499,993,043,258.10	8.8% 8.8% 8.8%
William Howard Taft	$228,827,633.12	8.7% 8.7% 8.7%
Dwight D. Eisenhower	$20,259,699,209.80	7.6% 7.6% 7.6%
John F. Kennedy	$16,888,694,386.36	5.8% 5.8% 5.8%
Harry S. Truman	$

I realize that you're a liberal idiot and therefore very bad at math, but $27.8 trillion to $34 trillion isn't $2.5 trillion.

 

[Oddball]

It is t be expected in the current circumstances. It will be back in the red presently.

THis happens during recovery periods.

 

[Toddsterpatriot]

By percentage change:



That's tRump at 33.1% and Joe at 8.8


Funny how seven of the top ten and all of the top 4 are republicans.

Franklin D. Roosevelt	$178,464,714,660.98	791.8% 791.8% 791.8%
Woodrow Wilson	$23,036,251,492.50	789.9% 789.9% 789.9%
Ronald Reagan	$1,604,482,712,041.16	160.8% 160.8% 160.8%
George W. Bush	$4,217,261,484,712.34	72.6% 72.6% 72.6%
Barack Obama	$7,663,615,710,425.00	64.4% 64.4% 64.4%
George H. W. Bush	$1,207,189,695,334.34	42.3% 42.3% 42.3%
Richard Nixon	$121,339,561,890.14	34.3% 34.3% 34.3%
Donald Trump	$6,700,491,178,561.60	33.1% 33.1% 33.1%
Jimmy Carter	$208,861,000,000.00	29.9% 29.9% 29.9%
Bill Clinton	$1,262,689,326,747.48	28.6% 28.6% 28.6%
Theodore Roosevelt	$483,479,337.65	22.6% 22.6% 22.6%
Gerald Ford	$87,244,000,000.00	16.4% 16.4% 16.4%
Herbert Hoover	$2,555,913,960.03	15.1% 15.1% 15.1%
Lyndon B. Johnson	$35,865,507,168.58	11.5% 11.5% 11.5%
Joe Biden	$2,499,993,043,258.10	8.8% 8.8% 8.8%
William Howard Taft	$228,827,633.12	8.7% 8.7% 8.7%
Dwight D. Eisenhower	$20,259,699,209.80	7.6% 7.6% 7.6%
John F. Kennedy	$16,888,694,386.36	5.8% 5.8% 5.8%
Harry S. Truman	$

Hey, fucktard, FDR and Wilson were Dems.

 

[Oddball]

View attachment 887926
Hey, fucktard, FDR and Wilson were Dems.

Must be a rough day in the mumble tank!

 

[Oddball]

So no. You shouldn’t expect anyone to take you seriously when your contributions amount to pointless cutting and pasting of cartoons.

Seriously...That's my racket!

 

[leftwinger]

Deep State engineers a crisis when out of power (no matter how much it costs or how many Citizen lives are destroyed or even killed). Then the lowIQ maggot followers run around spouting Congressional Spending numbers during man-made Crisis to blame the opposition. Not fooling anyone yo tick infested Water Buffalo creepy.

 

[Captain Caveman]

By 2025, you will have to pay higher taxes and the government will slash spending. That's my guess.

 

[Crepitus]

I realize that you're a liberal idiot and therefore very bad at math, but $27.8 trillion to $34 trillion isn't $2.5 trillion.

YOur numbers are obviously wrong.

 

[Crepitus]

Bagdad Bob was a conservative you know.

 

[Crepitus]

View attachment 887926
Hey, fucktard, FDR and Wilson were Dems.

My bad, shoulda said "conservatives", which they were at the time.

 

[Oddball]

Bagdad Bob was a conservative you know.

He was a blithering propagandist freak, just like you.

 

[Oddball]

My bad, shoulda said "conservatives", which they were at the time.

 

[Toddsterpatriot]

YOur numbers are obviously wrong.

The US Treasury debt to the penny numbers are wrong?

 

[Crepitus]

He was a blithering propagandist freak,

Yes, a conservative, as I said.