BREAKING: The Federal Reserve reported a -77.6 billion operating loss in 2024, building on a -114.3 billion loss in 2023. Since Q4 2022, cumulative operating losses have reached a massive -224.4 billion. This comes as the central bank has paid hundreds of billions in interest to commercial banks and money market funds. On the other hand, interest income coming from Treasuries and Mortgage-Backed-Securities has declined as the Fed has shrunk its balance sheet. Meanwhile, the Fed’s cumulative unrealized losses on these assets jumped 112 billion in 2024, to 1.06 trillion, as yields surged in the previous quarter. The Fed is losing money.