It is worth noting that the value of the bonds exceeded one trillion US dollars

Since the Fed continued to hold it throughout this period, the losses reached the aforementioned number, which is 100 billion

One of the reasons for the decline in the value of bonds is the high interest

Because bonds are loans

Interest is also a loan

Whichever is larger attracts larger investments

Higher interest rates attract more investments, which reduces demand for bonds

Which means that higher interest rates cause greater losses for the Fed.

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