Federal Reserve Balance Sheet

[clray123]

Wouldn't the reverse repo on the liability side be just an obligation to sell back the repo assets to their original owners (holders of "reverse repos" on their asset side)? The explanation "fed has borrowed from someone" seems very strange.

[bhitt99]

Yeah it is ok for men to have extreme power and wealth over most. Wait no it isn't. Stupid guy ignores the horror of the world. Sort of makes me want to puke from an enlightened stand point. The central banking system of the globe is so evil to talk about it in such a calm intellectual tone just makes me sick to my stomach for some reason.

[clray123]

@bhitt99 It can be one of two things (1) he's an idiot or an utterly evil person, along with pretty much every economist on this planet or (2) you are an idiot who trusts conspiracy theorists and populists who either don't know anything themselves or have vested interests in spreading certain types of doomsday propaganda to gain votes of people like you. You're free to think it over yourself and sort out the contradictions.

[bhitt99]

@clray123 What the hell are you talking about? You are an idiot for stating such a stupid and i mean stupid illogical argument. People like you are so stupid and easily fooled. You have such a small mind obviously.

[clray123]

@bhitt99 Well, good luck to you sir. But beware that your brains don't fall out from sheer "open-mindedness".

[FirionII]

Other than enhancing the transparency of monetary policy, why is the Fed balance sheet important? I don't understand why people consider it to be one of the most 'exciting' stats published by the Fed...

[NGinuity]

3:24 - The gold has been sitting on their balance sheet since 1933 after all of the gold was ordered confiscated to the Treasury. They actually don't possess it but hold the figure on the balance sheet as a record. By federal law, they haven't been able to hold gold as an asset since that legislation.

[cheddyrod]

The Fed does not own any real gold, they just own gold certificates and it is valued at $40 something per ounce. Strange?

[timrocksnrolls]

Be careful with this video. Although his logic is convincing, the original financial statement is politically correct. Thus, the Fed may have assets upwards of $100 trillion. No matter where the money gets lost in the system or the world, the money always comes back to the Fed.

[oldereb38]

what is undefined ?

[newgtguy]

Any excess, minus a 6% dividend, goes back to the U.S. Treasury.

[J1NX1337]

"Well, first of all the Federal Reserve is an independent agency, and that means basically that there is no other agency of government which can overrule actions that we take" - Alan Greenspan

The Secret of Oz (2009, full documentary)

watch?v=U71-KsDArFM

[riverlioness]

Asset-Liability management, interesting... Is this not part of the fiduciary credit mentioned in the Austrian Business Cycle Theory? Low interest rates, resulting in excessive credit creation.

What you aren't told is the Federal Reserve low interest rates create commodity bubbles. Economic bubbles which wreck the economy seem to occur during periods of easy credit access (liquidity).

That and the sheer number of market crashes after 1913 verifies Mal investment resources for me.

[Justprayfirst]

Someday...all our national forests will be strip-mined by the Chinese. The environmentalists will just have to step aside or be eliminated while the bond holders rape the earth to get paid back.

OR...The bond holders will have huge mansion estates set up on our national parks while we all beg them for employment.

[highmountain0]

the godl in fort knox was removed in the 70's or 60's and taken to new enlgand and it is stored over there for safe keeping so nobody can steal it; investigate.

[tulsapianoguy]

Help end the Federal Reserve. Write to your congressman and tell him to support H.R. 833 Federal Reserve Board Abolition Act.

[deadindisguise]

SKrY209.tk

[Thethirdcaller]

END THE FED

[kwdemarest]

i couldn't help but notice that i didn't see an asset listed for loans outstanding to other private banks. shouldn't that be listed somewhere on the balance sheet?

[gorgeousdzastr]

Would a 1 dollar silver certificate and a one dollar bill be on the same side of a balance sheet?

[Whyisthat101]

ABOLISH THE FED.

[TheHolySpirit]

Banks may issue gold certificates for gold which is allocated (non-fungible) or unallocated (fungible or pooled). Unallocated gold certificates are a form of fractional reserve banking and do not guarantee an equal exchange for metal in the event of a run on the issuing bank's gold on deposit. Allocated gold certificates should be correlated with specific numbered bars, although it is difficult to determine whether a bank is improperly allocating a single bar to more than one party. (Wikipedia)

[mark1952able]

You did a great job of explaining things for the common person! Thanx!

[stillnessONtheWAY]

forget the balance sheet my friend. GET THIS...YOU HAVE A FOREIGN INSTITUTION PRINTING YOUR MONEY FROM THIN AIR AAAAAND THEN REGULATING IT WHENEVER THEY PLEASE.

NO COUNTRY, EXCEPT A FEW, ARE TRULY INDEPENDENT FROM A CONTROLLED MONETARY SYSTEM.

i said foreign institution because it is not in control by the any gov. It is controlled by its stakeholders and guess who those mofos are.

[lenny389]

Oops are you crazy HR 1207 . Allow congress to control the Federal Reserve. What do think caused the Saving and Loan debacle back in the Eighties. Good old cheap bought and sold Congressman like Rangle and the rest like him. Certain Congressman where paid to limit or stop audits on a few crooked Savings and Loans owners. Then Owners stole millions of life savings from unsuspecting S & L members. Congressional control of the FRB would be total stupidity for this country.to do.

[2237lemon]

sdr's would be how many assets are being held in a savings account at the world bank ... (sdr's are special credits based on a basket of currencies )

[coflex09]

Federal Reserve Balance Shit!!!!!

[antixone1]

The Fed should just break down their balance sheets so everything looks like "small potatoes". LOL

[JesusDillinger]

Ummm, but since the constitution requires congress "To coin Money, regulate the Value thereof...." isn't all this illegal?

[dafaucas]

@JesusDillinger but they control the government,they are above the law, cant be auditioned, cant be sued, cant mess with the fed.

[JesusDillinger]

@dafaucas, I believe in my heart that truth can win, but what matters is doing what is right: Obtain pamphlets on jury nullification and hand them out in front of court houses, especially tax court. Learn precious metals, and buy and sell in silver with anyone who will accept such real money(believe me, folks WILL accept silver). Tell people about Alex Jones. Keep and bear arms. Associate with intelligent, freedom-loving people. Love truth. Come up with your own ideas.

[teilhaus]

@megawarpvideo All Jews no doubt.

[teilhaus]

@megawarpvideo Jews are the ones who set up and run the Federal Reserve.

[dafaucas]

@teilhaus the rothschilds run the fed

[Dean0000007]

We now know that Special Drawing Right's are IMF's fiat world currency.

[teilhaus]

The Federal Reserve was set up and is run by Jews as a means to make money off us.

[xxxNiceLifexxx]

watch NATIONAL SECURITY ALERT for SCIENTIFIC EVIDENCE about 9/11 and SHARE with everybody you know! 1 MIO $ reward for proving opposite

[stepheng1483]

Jews own the Federal Reserve, and they certainly don't run it for our benefit.

[hwt2009]

This is a misleading video; the changes occured in 2008 onwards....the Fed Reserve now holds over 1 trillion of mortgage backed securities......what you are seeing is before the TARP and all the bank failures....

[bollyballboy]

@hwt2009

Sal points that out at the very beginning of the video. He said that this would be the balance sheet before all the craziness happened in 2008.

[bollyballboy]

@hwt2009

Sal points that out at the very beginning of the video. He said that this would be the balance sheet before all the craziness happened in 2008.

The date on the Balance sheet itself is dated as Feb 14th 2007.

So how is that 'misleading'?

[xXxSHOOPIExXx]

Simple accounting equation: Assets= Liabilities + Owners Equity

[hwt2009]

lots of false information...theres two to three trillion unaccounted. also the feds raised the overnight deposit rate

[wutangswordsman1]

the jews run the world pretty much they have around 90% of the worlds wealth well gold money, as tender is worthless the federal reserve is going to colapse but they are going to keep on printing fake money so no one will question the economic slump!!

[GREEDYMADONNA]

Prtin g money at will like the fed does in counterfeiting

[TheMraptor]

those 12B gold is apprised afaik at $42 per oz, if you calculate it by today price ~$1100 (26 times more), those 12B should become ~315B .... what about that :) it is not such a small amount isnt it ..... and when the gold peak (if it is traded as simple commodity) at $2500 (59 times) ==> 715B..... if gold is ever traded like money again, then i don't want to even calculate it :)

[MichaelRMcCoy]

Any meaningful, sober investigation into the underhanded agendas by secretive groups that control the American political realm, American media and international banking, (including the US "federal reserve"), (sic), reveals that the Zionist manifest destiny is deeply imbedded in American life.

The control of the highest officials of the political hierarchy, the control of money and control of what Americans are supposed to believe - and feel, results in subservience to Israel - look closely.

[MichaelRMcCoy]

Vague relationships and supremely complex transactions amount to smoke and mirrors - disguising underhanded and secretive agendas by our self-appointed masters - and the cancer is deep.

The Fed Reserve was foisted upon the American People through a carefully crafted hoax, in the dark of night on Christmas eve in 1913 - and Americans have paid trough their noses ever since.

Along with the illegal IRS, (never ratified), the FED has been the largest legalized robbery in human history.

[naverno]

SDR is the global currency. But this balance sheet is a fiction. No one can audited them anyways.

[stepheng1483]

The Jews run the Federal Reserve, and the certainly don't run it for our benefit.

[canadakim1]

Hi there. I read a good idea last night - write "youtube NWO" on all paper money. I wrote "research youtube - NWO, Bohemian Grove" on all my bills today. Great ironic way to get back at NWO. This works for all paper money around world.

What do you think?

[ritherz]

@canadakim1

WOW SPREAD UR IDEA AROUND!

[justpem]

Sal i've been looking at the fed's balance sheet updated to today. as u've said the deposits have increased drammatically compared to 2007 now they make up more than the reserve notes in percentage.

why did this happen?

is it because the government has lowered interests rates? thus indirectly gave more assets to banks which have more reserve to deposit in the fed?

if so why don't they just keep it and issue more loans?

sorry for the heap of questions ;P

and THANKS again for what you do

[10019video]

@justpem: No.

It happened b/c the Federal Reserve "printed new money" to buy the Mortgage Backed Securities assets from the banks (about 1 trillion$ worth). They bought them from banks (these now show up as a Fed Asset) and gave the banks the newly printed money, which the banks immediately deposited in their account at the Fed.

So, biggest change in Fed balance sheet is Assets went up by 1 trillion (MBS) and on the Liability side, "Deposits" have gone up by the same 1 trillion.

[bweazel]

3:14. The special drawing rights is the new world currency. It's money from the IMF, I believe, or at least drawing rights to use their money.

[seven8000]

Where are the deposits of the commercial banks at the FED ? Shouldn't they be included in the Balance Sheet ?

[1XMarksSpot]

@seven8000 LOL Good questions. That represents some intelligence. This balance sheet is fake. How can ANYONE trust their balance sheet when they won't even let anyone AUDIT them? The Federal Reserve is a criminal organization.

[10019video]

They are. He mentions them in this video.

[ivanleo]

SDRs are claim on the IMF (Specifically claims denominated in IMF Special Drawing Rights, a basket of world currencies)

[ranzy905]

the bailout was 3 trillion not 700 billion as you were brain washed to know. Total national debt is 100 Trillion. War is expensive ain't it? Who is going to pay for the 100 Trillion? the answer is your FREEDOM.

[pennadapavan]

Hi Sal Thanks So much for your Videos they are awesome. I just wanted to know is the Fed involved in controlling currency exchange rates. If not how the currency exchange rates are determined would me helpful if u could do a video on that plzz

[parenthope2]

This is a false Balance Sheet. It is based on a Money Supply of M0 (currency). If you add M3 to Federal Reserve loans, the Money Supply is $27 Trillion. That is huge compared to the $800 Billion that they acknowledge (and of course the $900 Billion they've printed since 2007).

[riccati2012]

I think that is a set of cooked books

[mychar111]

So who does the 30 Billion in equity go to?

If the Fed's so called "profits" go back to the treasury, why does the treasury need to borrow money from the fed?

Funny that an ex NY Fed president is running the US treasury. They are running such a clever scam, and nobody can do anything as the Fed is above the law.

[GoLuckyOops]

Please support HR 1207, The Federal Transparency Act! Our congressmen have the right and responsibility to Audit the federal reserve, like anyone else! It is our USA dollar, our representatives have the right to know! Please contact your local legislator about HR 1207!!! Congress rigorously debates millions of dollars in the senate, yet Bernanke an unelected official puts billions of US dollars at risk, and our own CONGRESSMEN can't even know how the money is spent! We need TRANSPARENCY!!!!

[thekid22585]

Fuck HR 1207, its B.S

We dont NEED to AUDIT the Federal Reserve, we need a president like Abraham Lincoln who will ABOLISH them period. You think Auditing them will stop them from printing in the future? You think they wont pull the same stunts 100 years from now? You think our great great grandkids wont go through the same B.S of having to see bubble after bubble after bubble?

Whats going to happen is we're going to have an INTERNATIONAL federal reserve..watch what I say, its inevitable

[Trojanmagnus]

@thekid22585 one step at a time son... auditing is the first step to abolishing the fed. The senator responsible for HR1207 wants exactly what you want.. to End the Fed..

[thekid22585]

@Trojanmagnus Whatever.....its just a Carrot & Stick tactic. It wont bring about anything really. We'll have an International Federal Reserve & people like you will be waiting for an "audit" then.

When Abraham abolished "slavery"....he didnt first "suspend" it & re evaluate it. He ABOLISHED it.....period. The Federal Reserve act is MUCH worst than slavery.....hell, it IS slavery in many ways......DEBT slavery. You can be optimistic about some phony audit, but its the same thing over and over..

[snarfeater]

@thekid22585 i believe that is right its just more distraction and wrong to even allow the criminals to remain free

[CMink7777]

@thekid22585 The Fed is like a beast with tenacles extending all over the place. They ARE our government even though they technically aren't. They have so much power it's ridiculous.

[disectortm]

@thekid22585 Look what happened to Lincoln and Kennedy! Both toasted for trying to do what our constitution says. END THE FED!

[martini926]

@thekid22585 dude, you're hardcore. damn i wish more people like you in this world. oppssss i better off now, some cia geek is watching me. ~

[thekid22585]

@martini926 Unlike the guy who has 10 positive feedbacks behind me, who is naive to think congressmen & woman can truly effect the federal reserve, there's only one person on the planet that can put the heat to the federal reserve, as well as Congress

EVERYONE SHOULD LOOKUP JEKYLL ISLAND!!!

[polygamous1]

@thekid22585 mate its too late for that now JFK was murdered 10 days after he said in a free country is no room for secret societies n he had plans to abolish the fed its DIABOLICAL for a small group of ppl to have the exclusive right to print BS bits of paper at will yet u i n all others have to work like dogs to earn enough to live on yet they can print as many billions as they like whatever we earn they can print more in seconds how can that be right?how comes the us owes them so much? F them

[Antonsson]

@thekid22585 There already is an international fed; the IMF who prints Special Drawing Rights (SDRs). It is privately owned by rothscild =)

[thekid22585]

@Antonsson I wouldnt quite consider the IMF as a "international fed" seeing as how their members are elected via "subscriptions".

Whereas the federal reserve of the u.s has no "members" that have subscriptions but rather 7 regional reserve banks throughout the country to keep a stranglehold on our currency. IMF is also the largest holder of gold. There is nothing "federal" nor do they hold anything in "reserve" as they are called. So again, in the sense i am speaking of, there is no TRUE IFR

[Antonsson]

@thekid22585 All I know is the SDRs are interchangeable with almost every currency and isn't the issuance in the same type of control as that of the federal reserve notes?

[parklinkin52]

@thekid22585

wow, someone just watched zeitgeist...

[L0ngB0ard99]

@thekid22585 the federal reserve is connected to international banks so there already is one and theres banks like the federal reserve in every country

[bencr06]

@thekid22585 lol Abraham Lincoln created a Fiat Currency to paper over the Union's bankruptcy during the Civil War, he's no worse than the current presidents we have now. We REALLY need someone like Andrew Jackson!

[durhamdf]

@thekid22585 no we excpect they will, that is their job! And FYI the Fed doesn't actually "print" currency, they create money through the fractional reserve system just as all other banks. The Fed is just a massive bank so its money creation potential is higher. You all would be in soup lines right now if the Fed hadn't exercised expansionary monetary policy and we slipped into a deflationary spiral like the great depression. Oh yeah, and the Fed was created long after Lincoln's death...

[aldexrey]

say goodbye to the US dollar

[XCalsXnXBenX]

hahahahahahaha

[joshborne]

This is the Balance sheet from Feb. 2007

We need to see the Balance Sheet as it is NOW!!!!

The Treasury has printed an additional $1 Trillion plus since Sept. with large portions of that going to China who in turn is spending the money purchasing Gold Reserves and other assets. Soon this money will be in our Market and we will have outrageous inflation like 1980!

[pablomoussa]

I've been reading through my university Ecnomics books, attending lectures and classes but I could never really UNDERSTAND what was all behind the monetary system. Now I do! Thanks you very much! And please more videos on Macro- and Microeconomics!!

[BigBrotherIsHere01]

Monetary system sucks!

They are just doing little wizards tricks with numbers. If the fed still has the value of the money it is actually worthless and highly subjective.

[bosstask]

Hi Petter, your vedios are really great. I wonder how the federal print money and sell T-bills against it because the t-bills will also be sold and they will get USDollar against. So how that will be offset again? and dont you think with issuing $100 t-bill the Fed. ca print $100 and sell the t-bills for a hundred so they will get a total of $200?

[NEGIgic]

А чё это за программа ?

[sdfdfsf23]

Special Drawing Rights certificate... Aren't they the sort of alternative currency that is put together for IMF? I heard they decided to increase that in the recent G20.

[siggyboss]

Sal, the Federal Reserve now pays interest on reserves (including excess reserves). Also, I believe the Fed finances its operations from the interest it receives from buying US Treasuries. The 'excess' amount is returned to Treasury. Of course, the Fed could just print money to finance its operations.

[4rcane]

Anyone know the answer to this. Who in the Federal Reserve gets the interest payment from the loans they give out? The private member banks, the government or does it get absorbed by the Federal Reserve (dissapears in it)?

[4rcane]

I found my answer from Peter Schiff. Apparently the Federal Reserve has a 100% tax rate. They keep maybe 5% for operations

[ButteryGoombaZappa]

Peter Schiff is the man

[rhkul]

Brilliant stuff. I was wondering if you could do a video on quantitative easing, and why it won't work when the banks are insolvent, or when they are deemed to be.

[charlybrown1000]

Sal, I've 2 Q. If you could help, please... 1. When the fed (i.e) purchases in an Open M. Op. it buys to persons or Corps. or even banks, but do they always want to sell? I mean, if rates suppouse to lower helped by those OM purchases, why would I sell my T securitie with a "higher" rate?? Could you give me a little more detail in that point?

[Loveseekingmissile]

Oh wow, this almost makes it seem that the federal reserve is legit. So simple. NOT. Dude you're a good math teacher and you help a lot of young students but this oversimplification of how the fed steals money from Americans is absurd. They've admitted on national tv to loosing 2.3 trillion dollars just before 911. 9/10/2001 to be exact look it up it' s on the web.

[serbenmar]

I felt you just read the balance sheet but not really explained it. The SDR was given after Nixon took out the gold standar. So the Treas.Dept. issues T-bills and the Fed had bought them? thx 4 ur videos.

[khanacademy]

Right. The fed "creates" Federal Reserve Notes which it uses to buy Treasuries. We cover this in the previous 4 or 5 videos on banking and money.

[alphaferrari]

you're the man, bro!

[pongman]

I always thought the Fed was a top secret private corporation owned by the top families of the world.

[sgentry777]

Sal didn't the fed recently start paying interest on deposits?

[0PsycoDad0]

Sad your other banking vids where censored but anyway thanx for preparing this!

[yp06407012]

sensored??? who did it?

[Lucky7wins]

that is one of the best explanations for a balance sheet that i have watched.

I am guessing (i will look at the 2008 balance sheet of the fed and compare) that the Fed is claiming to have more "Assets" (worthless treasuries) and even more debt (inflation).