Federal Home Loan Banks are currently offering 3.5% yields on their paper but making no money due to their low-coupon assets and operational costs, and without regulatory intervention to allow them to borrow more from the Fed's home loan advance facility, some will go out of business.

causalpending

Speaker

Chris Whelan

Evidence Quote

they're paying three and a half but they're not making any money

Source

The Fed’s Ticking Time Bomb Is About To Explode | Joseph Wang & Chris WhalenForward Guidance
Created: 8/11/2026, 1:23:06 AM

My Notes

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