icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm

Fed reports massive profits

Fed reports massive profits
As Americans continued to suffer a declining economy, high unemployment, and rising prices, the US Federal Reserve raked in a record $81.7 billion profit in 2010 – a 53 percent increase for 2009.

The Fed’s intervention into the US financial crisis has paid off well for the bank. It is reaping profits for bailing out failing banks and buying US government debt, and then charging interest on top of it. Annual financial statements for the system showed the bank increased its overall asset holdings by $193 billion in 2010, reaching a total of $2.428 trillion to date. The Fed’s push for quantitative easing, while it may not have currently corrected the US markets, certainly increased the bank’s own revenue stream. Analysts say the increase was driven heavily by the Fed’s purchase of billions of dollars in Treasury bonds. The bank’s holdings in US Treasury securities rose by nearly $261 billion in 2010, reaching a total of $1.06 trillion. As Wall Street and the nation's bankers rejoice, millions of Americans across the country remain unemployed, collecting welfare, unable to pay for food and other necessities. The housing market remains depressed and the future appears bleak.

Dear readers and commenters,

We have implemented a new engine for our comment section. We hope the transition goes smoothly for all of you. Unfortunately, the comments made before the change have been lost due to a technical problem. We are working on restoring them, and hoping to see you fill up the comment section with new ones. You should still be able to log in to comment using your social-media profiles, but if you signed up under an RT profile before, you are invited to create a new profile with the new commenting system.

Sorry for the inconvenience, and looking forward to your future comments,

RT Team.

Podcasts