🇺🇸 Did the Fed Just Start Printing Money Again?just one click and claim your free gift🎁🎁🎁🎁🎁🎁🎁🎁
The Fed recently bought $20 billion worth of 3-year bonds — but this is NOT QE (money printing).
Let me explain in simple terms:
This is reinvestment, not new spending.
Here’s What Happened (May 5 Auction):
The Fed (through something called SOMA) bought $20.47 billion in U.S. Treasury bonds.
People are asking: “Is this Quantitative Easing (QE) again?”
The answer: No.
What is SOMA?
SOMA = System Open Market Account
It’s the Fed’s portfolio of U.S. government bonds
Managed by the New York Fed
Used to carry out monetary policy
Why Did SOMA Buy Bonds?
These were reinvestment purchases
When old bonds mature, the Fed uses the cash to buy new ones
This keeps the portfolio the same size
It’s not QE (no new money being added to the economy)
Key Points:
These buys are pre-planned
They don’t change prices
They don’t add new money like QE would
Auction Stats:
Total bids: $168.7B
Accepted: $78.5B
Fed (SOMA) bought: $20.47B
The rest went to investors like banks and funds
Bottom Line:
This isn’t money printing.
It’s like renewing a fixed deposit, not adding more cash — just keeping things running.