The Most Profitable Bank In The World Is More Profitable Now

We had written about the kind of money made by the Fed, that made it the most profitable bank in the world - we spotted some numbers today, that makes the Fed more profitable now, and it is on a growth trajectory as well. It has a $2.9 trillion balance sheet now, and some 89 billion dollars have been sent back to the government (Source)

How do we digest these billions and trillions? One way could be this: the easing program is still on, and so the balance sheet would swell by 85 billion dollars every month, or more than a trillion dollars in 2013. But where does the Fed's profits come from? We need to do some analysis on that, and that would be a separate post.