Treasury

The Fed Sent $838 Billion in "Profits" To The Treasury In Past Decade

On Monday, the nexus of reserve currency helicopter money, the Federal Reserve, announced that it had sent $88.5 billion in so-called “profits” (i.e., interest income from all those bonds it “purchased” after creating digital money out of thing digital air) to the U.S. Treasury Department in 2020, a 61% increase from the previous year as…

Fed Returns $42 Billion To Treasury For Terminated Emergency Programs

At the end of 2020, Steven Mnuchin created a mini media tempest (in a teapot) when he demanded that the Fed return tens of billions in unused funds backstopping the central bank’s various emergency, 13(3) programs. While the news spark a mini furore in financial circles and in Congress where reps and Senators scrambled to…

10Y Treasury Yields Hit CTA Liquidation Trigger: It's About To Get Ugly

Yesterday’s unexpected “blue wave” reality washed over US markets, catalyzing a rise in 10Y Treasury yields past the CTAs’ near-term liquidation point of 1.02% (see “CTAs Will Puke Once 10Y Yield Hits 1.02%, Sparking Liquidation Cascade“) with yields rising as far at 1.050% at one point… … a level that has been surpassed this morning…

Treasury Yields, Bitcoin And Small Caps Soar; Tech And Dollar Tumble On Possible Georgia Blue Sweep

Bond yields, bitcoin and small cap stocks surged while tech stocks and the dollar tumbled on Wednesday on the prospect of more stimulus and tougher tech regulation if Democrats take control of the U.S. Senate following a run-off election in Georgia. Stocks in Europe rose and those in Asia were mixed as traders digested what’s…

US Treasury Breached By ‘Sophisticated Hacking Group’ Backed By Foreign Government: Report

The US Treasury was allegedly hacked by a “sophisticated hacking group backed by a foreign government” which “stole information from the US Treasury Department and a US agency responsible for deciding policy around the internet and telecommunications,” according to Reuters, citing people familiar with the matter. The report comes one week after US cybersecurity firm…

The 2021 Liquidity Supernova: Step Aside Fed – US Treasury Will Unleash $1.3 Trillion In Liquidity

One of the most poignant (and painful to some) lessons of the past decade – especially to contrarian, bearish investors such as Odey and Horseman – is that the Fed can keep print money far longer than any short can remain solvent. And while it was considered in poor taste until earlier this year to…