NY Fed flags $1.06 trillion unrealized loss on bond holdings in 2024!
The Federal Reserve saw $1 trillion in unrealized losses on its holdings last year, according to a report released Tuesday by the Federal Reserve Bank of New York.
The bank said in its annual report, opens new tab for the System Open Market Account, the Fed's massive holdings of cash and securities, that the $1.06 trillion unrealized loss in 2024 was “modestly higher” than the $948.4 billion paper loss seen in 2023.
The state of unrealized losses last year was due to “higher market interest rates across the yield curve” while partially offset by reduced Fed holdings of bonds.
READ THE REUTERS ARTICLE HERE!
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It’s all trillions these days! I miss the 90s!