The Federal Reserve, the nation’s central bank that prints and distributes money while making investments to earn dollars, is reporting a loss of $18.7 billion for 2025. The Fed simply uses an accounting trick to wipe away deficits by putting its losses into something called deferred assets.
Deferred assets — Fed debts, in other words — now total $243.5 billion. Deferred assets are a category of debts that are deferred until the Fed makes profits again and can pay the debt down..
The loss in 2025 actually pales in comparison to previous years. The Fed had losses of $77.6 billion in 2024 and $114.5 billion in 2023.
Note how losses are higher in years when interest rates, set by the Fed, are higher. President Trump may indeed have a point when he keeps arguing for much lower interest rates, but Trump-hating Fed Chairman Jerome Powell will have nothing of doing what Sir Donald wants.
