The Fed Should Be Bankrupt

Summary

  • The Fed’s cumulative actual loss has reached $203B, with realized losses being incorrectly reported as “paper” losses by the mainstream media.
  • The Fed’s financial instability is due to earning a 2.2% yield on assets while paying nearly 5% on liabilities, creating an unsustainable net interest spread.
  • A potential recession may lower interest rates but could trigger a banking crisis, exacerbating the already significant risks in the U.S. banking system.
  • Retail investors should conduct thorough due diligence on their banks as larger banks face greater risks, and reliance on FDIC protection may not be prudent.
  • Looking for a helping hand in the market? Members of The Market Pinball Wizard get exclusive ideas and guidance to navigate any climate.
Financial Crisis Bank Fallout Woes Benjamin Franklin $100 Bill

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According to recent data published by the Fed, the regulator’s cumulative loss has reached $203 billion.

It’s worth mentioning how the mainstream media reported this news. For example, here’s an article from Reuters.

First and foremost, as

Avi is the leader of the investing group The Market Pinball Wizard where they help members gain a more real-time understanding of where the market is likely heading. Features of the group include: daily S&P 500 directional analysis, intraweek metals analysis, weekly expanded analysis on the S&P 500, metals, USO, and USD, weekly live webinars where we walk you through the charts we are tracking, and community chat with direct access to Avi and his team of analysts to ask questions. Learn More.

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