General Discussion

Pluvious

(5,298 posts)

16. When the government spends more money than it collects in taxes...

Sat May 17, 2025, 12:06 PM

May 2025

It borrows the difference from anyone who will loan it to them

This is chiefly done by selling bonds (aka treasury notes)

Right now, the biggest foreign holder is Japan

In the past, the Federal Reserve has stepped in to buy them when others have failed to buy up all that is offered

The total treasuries held by Fed range from sub 1 trillion in 2004, to peak of 5.7 trillion in june 2022 - been going down ever since (chart goes to 14MAY2025)
https://fred.stlouisfed.org/series/TREAST

(The auction Gregory is talking about is likely roll-overs, with no impact (up or down) on total held treasury assets, so it looks like his claim the Fed started buying again is in error)

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Corrected - was: The FED bought $43.8 billion in U.S. treasuries this week... [View all] Pluvious May 2025 OP

I'm sorry, I don't understand what any of that means. 1WorldHope May 2025 #1

When the government spends more money than it collects in taxes... Pluvious May 2025 #16

I think you are drawing an erroneous alarmist conclusion and you don't indicate your reasoning Bernardo de La Paz May 2025 #2

Hey Bernardo, which bond were you lookiing at? A HERETIC I AM May 2025 #4

Yes, it was reported as "USD 4 Week Bill Auction" among yesterday's flood of data Bernardo de La Paz May 2025 #6

Thank you, friend Pluvious May 2025 #9

You might consult some data and do some reading before you post misleading stuff Dreamer Tatum May 2025 #3

Thank you friend, I updated my post (nt) Pluvious May 2025 #10

As some Treasuries come due, they roll them over. roamer65 May 2025 #5

Thank you friend, I updated my post (nt) Pluvious May 2025 #11

.. roamer65 May 2025 #14

Your source "DEEPNEWZ" is so bogus it doesn't even get noticed by the media bias accuracy rating sites Bernardo de La Paz May 2025 #7

And thank you again... Pluvious May 2025 #12

Cheers :) . . . . nt Bernardo de La Paz May 2025 #13

Gold in the last few weeks has DROPPED a couple HUNDRED dollars an ounce DFW May 2025 #8

Gold usually goes on a big bull run just before and leading into a recession. roamer65 May 2025 #15