“Because the US government is lending money to the big banks at near-zero interest rates. And the banks are then turning around and lending that money back to the US government at 3%-4% interest rates, making 3%+ on the spread. What’s more, the banks are leveraging this trade, borrowing at least $10 for every $1 of equity capital they have, to increase the size of their bets. Which means the banks can turn relatively small amounts of equity into huge profits—by borrowing from the taxpayer and then lending back to the taxpayer.”Still spreading this silly claim? Anyone who thinks it's a good idea to borrow overnight at 0.75% and buy a 10 year Treasury probably shouldn't be giving investing advice to the public.
And another thing, banks are only borrowing $47 million from the Discount window right now. Maybe 0.75% isn't an attractive rate for banks when they can borrow overnight from each other at 0.25%.