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BERNANKE BONDS: Under Obama Fedís Holdings of U.S. Debt Have Jumped 452%!
CNSNews.com ^ | June 7, 2012 | Terry Jeffrey

Posted on 06/07/2012 10:51:53 AM PDT by CNSNews.com

(CNSNews.com) - Since President Barack Obama was inaugurated in January 2009, the Federal Reserve’s holdings of U.S. government debt have quintupled, according to the Fed’s official monthly balance sheet.

On Jan. 28, 2009, a week after Obama’s nomination, the Fed owned $302 billion in U.S. Treasury securities. On April 25, 2012, the latest date reported, the Fed owned five and a half time that much in U.S. Treasury securities--$1.668 trillion.

That is an increase from January 2009 of $1.366 trillion—or 452 percent.

Under Obama, the Federal Reserve has become the single largest owner of U.S. government debt. When Obama entered office, entities in the People’s Republic of China were the largest holders, followed by entities in Japan. At the end of January 2009, China owned $739.6 billion in U.S. government debt and Japan owned $634.8 billion.

By the end of March 2012, China’s holdings of U.S. debt had grown to $1.1699 trillion and Japan’s holdings had grown to $1.083 trillion.

Together, the Federal Reserve, China and Japan had increased their holdings of U.S. debt by $2.2445 trillion since Obama took office.

The total U.S. government debt grew from $10.6179 trillion to $15.6233 between Jan. 28, 2009 and April 25, 2012. Leaving out the intragovernmental debt—which the federal government owes itself—the publicly owned part of the U.S. government debt has climbed from $6.2955 trillion to $10.8607 trillion, an increase of $4.5652 trillion.

The $2.2445 trillion of that new publicly owned U.S. government debt that was purchased by the Fed, China and Japan equals 49 percent of all the new debt the U.S. government has sold to the public since Obama took office.


TOPICS: Business/Economy; Government
KEYWORDS: benbernanke; bonds; china; debt; federalreserve; japan; moneysquandering; timgeithner; treasurybonds; wallstreet

1 posted on 06/07/2012 10:51:57 AM PDT by CNSNews.com
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To: CNSNews.com

2 posted on 06/07/2012 10:58:03 AM PDT by E. Pluribus Unum (Government is the religion of the sociopath.)
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To: CNSNews.com; ding_dong_daddy_from_dumas; stephenjohnbanker; DoughtyOne; calcowgirl; Gilbo_3; ...
Who says money doesnt grow on trees?


3 posted on 06/07/2012 10:59:10 AM PDT by sickoflibs (Romney is a liberal. Just watch him closely try to screw us.)
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To: CNSNews.com
That is an increase from January 2009 of $1.366 trillion

QE 1 and 2 were $1.2T combined so I'm not sure why this is a surprise to anyone...

4 posted on 06/07/2012 11:02:13 AM PDT by Wyatt's Torch (I can explain it to you. I can't understand it for you.)
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To: CNSNews.com
Follow the cash;

Banks Pressured to Buy Government Debt
http://www.freerepublic.com/focus/f-news/2890296/posts

US and European regulators are essentially forcing banks to buy up their own government's debt—a move that could end up making the debt crisis even worse, a Citigroup analysis says.

Regulators are allowing banks to escape counting their country's debt against capital requirements and loosening other rules to create a steady market for government bonds, the study says.

5 posted on 06/07/2012 11:08:30 AM PDT by Son House (The Economic Boom Heard Around The World => TEA Party 2012)
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To: CNSNews.com

The Fed has bought $1.7 Trillion Treasury Bonds and that is why the 10 year Treasury Bond interest rate is at 1.5%.

If the US Treasury had to borrow money in the market place, it would have to pay much higher interest rates.

The American public is being scammed big time by the Fed and Treasury.

We should arrest them for counterfeiting.


6 posted on 06/07/2012 11:11:07 AM PDT by Presbyterian Reporter
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To: sickoflibs; CNSNews.com; stephenjohnbanker; DoughtyOne; calcowgirl; Gilbo_3

Of course, Romney would never do such a thing.... unless some “financial emergency” appeared ....


7 posted on 06/07/2012 11:20:42 AM PDT by ding_dong_daddy_from_dumas (Fool me once, shame on you -- twice, shame on me -- 100 times, it's U. S. immigration policy.)
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To: Son House; sickoflibs; CNSNews.com; stephenjohnbanker; DoughtyOne; calcowgirl; Gilbo_3
US and European regulators are essentially forcing banks to buy up their own government's debt—a move that could end up making the debt crisis even worse, a Citigroup analysis says. Regulators are allowing banks to escape counting their country's debt against capital requirements and loosening other rules to create a steady market for government bonds, the study says.

Did you notice that the markets went up 300 points on Wedneday after the "rich" European govts. promised to bail out irresponsible Greece? Reward profligacy, punish frugality. Diabolical.

8 posted on 06/07/2012 11:31:53 AM PDT by ding_dong_daddy_from_dumas (Fool me once, shame on you -- twice, shame on me -- 100 times, it's U. S. immigration policy.)
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To: CNSNews.com
Professor Obama's Perpetual Motion ATM

Only two ways out:

1 - DEFAULT - Finanacial collapse or intentionally walking away from debt

2 - INFLATION

SEE MY TAGLINE


9 posted on 06/07/2012 11:34:12 AM PDT by Iron Munro (John Adams: 'Two ways to enslave a country. One is by the sword, the other is by debt')
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To: CNSNews.com


10 posted on 06/07/2012 11:36:32 AM PDT by Iron Munro (John Adams: 'Two ways to enslave a country. One is by the sword, the other is by debt')
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To: ding_dong_daddy_from_dumas; Son House; sickoflibs; CNSNews.com; stephenjohnbanker; DoughtyOne; ...

” Regulators are allowing banks to escape counting their country’s debt against capital requirements and loosening other rules to create a steady market for government bonds, the study says. “

Free money for banks

“all the debt are belong to us..”


11 posted on 06/07/2012 11:36:34 AM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: ding_dong_daddy_from_dumas

” Did you notice that the markets went up 300 points on Wedneday after the “rich” European govts. promised to bail out irresponsible Greece? “

Yes. But Greece refuses to fix the problem. This will likely be the last bailout. UK, Germany are broke too.


12 posted on 06/07/2012 11:42:15 AM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: ding_dong_daddy_from_dumas; CNSNews.com; stephenjohnbanker; DoughtyOne; Gilbo_3
RE :”Of course, Romney would never do such a thing.... unless some “financial emergency” appeared ....

The first emergency will be when he gets sworn in and reads the polls saying he should fix the economy fast, then the national debt $$$ will become a positive again like it was under Bush/Cheney, for Republicans anyway, for Dems it will become bad again. This is because the two parties are completely different.

13 posted on 06/07/2012 11:56:51 AM PDT by sickoflibs (Romney is a liberal. Just watch him closely try to screw us.)
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To: sickoflibs

Yeah....


14 posted on 06/07/2012 11:57:05 AM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: stephenjohnbanker

It’s free money from the banks. Banks will essentially hold IOU’s just like in Social Security. A retiree I know was going down to see just where his retirement saving is, he thought cash in the bank was financial security, only to find out the bank may not have the cash, in cash.


15 posted on 06/07/2012 12:25:38 PM PDT by Son House (The Economic Boom Heard Around The World => TEA Party 2012)
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To: stephenjohnbanker; ding_dong_daddy_from_dumas

There’s really limited places to invest capitol to beat inflation, stocks being one. Stock dividends may also be one of the limited options for a return.


16 posted on 06/07/2012 12:28:38 PM PDT by Son House (The Economic Boom Heard Around The World => TEA Party 2012)
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To: Son House

REIT’s are another.


17 posted on 06/07/2012 12:45:17 PM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: CNSNews.com

For future reference. Very important data.


18 posted on 06/07/2012 1:25:26 PM PDT by InterceptPoint (TIN)
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To: CNSNews.com
The $2.2445 trillion of that new publicly owned U.S. government debt that was purchased by the Fed, China and Japan equals 49 percent of all the new debt the U.S. government has sold to the public since Obama took office.

I wonder how much of the remaining 51% was taken up by banks using that cheap money from the Fed?

19 posted on 06/07/2012 1:27:17 PM PDT by InterceptPoint (TIN)
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To: sickoflibs; CNSNews.com; stephenjohnbanker; DoughtyOne; Gilbo_3
The first emergency will be when he gets sworn in and reads the polls saying he should fix the economy fast, then the national debt $$$ will become a positive again like it was under Bush/Cheney, for Republicans anyway, for Dems it will become bad again. This is because the two parties are completely different.

No use in crying, might as well laugh. Romney knows that if he wins, voters will expect a decent economy. But interest rates have to rise some day (and the housing market still sucks), so I suspect he will want to keep the good times rolling as long as the dams hold.

20 posted on 06/07/2012 5:03:29 PM PDT by ding_dong_daddy_from_dumas (Fool me once, shame on you -- twice, shame on me -- 100 times, it's U. S. immigration policy.)
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To: AdmSmith; AnonymousConservative; Berosus; bigheadfred; Bockscar; ColdOne; Convert from ECUSA; ...

Thanks CNSNews.com.


21 posted on 06/07/2012 5:46:17 PM PDT by SunkenCiv (https://secure.freerepublic.com/donate/)
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To: CNSNews.com

Isn’t this a sure recipe for excessive inflation down the road? And it’s a short road - inflation at my Kroger is already kicking my butt.


22 posted on 06/07/2012 5:58:03 PM PDT by citizen (Obama blames:Arab Spring,Banks,Big Oil,Bush,Ceos,Coal,Euro Zone,FNC,Jpn Tsunami,T Party,Wall St,You)
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