POMO and The PD's

I remember last year there was a suspicion that the Fed had arranged deals with Primary Dealers behind closed doors which covered the PD's profits, risks or lack of risk, and what they were to do with their profits that would be mutually beneficial to them and the Fed. A pattern of bonds issued within the last few months, being monetized by the Fed, slowly started to come to light as suspicions were confirmed.

Now, there's no shame whatsoever. The Fed grabs brand new issuances at the first chance they get and the obscene profits the banks/PDs make for carrying no risk, just being a mule for the Fed, is astounding that they are so brazen to do it so openly.

This story details the issuance from the Treasury, how much Primaries took down and how much they flipped to the Fed just weeks later (because POMO was over, otherwise it would have been sooner). This is mass corruption right under every one's nose.