CORRECTION, My Mistake

Sometimes I do stupid things.

A few minutes after I finished the last post, it occurred to me I made a stupid mistake, but it was already Shabbat so I couldn’t send a correction. Before I read any comments I’m addressing it, assuming some of them are correcting me. The unrealized losses of the Fed can’t be added together for 2022 and 2023. That doesn’t make any sense.

Unrealized losses are down to $948B in 2023 from $1.08 trillion in 2022, not because the losses are narrowing. They are actually growing. The difference comes from a chunk of those unrealized losses becoming realized. The portion of the Fed balance sheet now underwater is 13%.

Sorry about that, my bad. Happy Easter to those celebrating today, and to those celebrating “Transgender Visibility Day”, my condolences.