Fed Treasury Holdings Pass $1.5 Trillion As Pension Looting Continues

It seems like it was only yesterday that the Fed passed the $1 trillion mark in total Treasury holdings (actually it was it was January 2011). Whelp it is not even 4 full months later, and the Fed has already added $500 billion in holdings. Following Fridays's $6.94 billion Pomo, total Fed holdings of US Treasurys have now passed $1.5 trillion (which is ironic because the net new cash tendered to the Treasury per total Bond, Note and Bill issuance and redemption in 2011 through the most recent settled auction is $350 billion, in other words the Fed has funded about 140% of the total Treasury cash needs). As a reminder there is just under 6 weeks left until QE2 ends, at which point the Fed's Treasury holdings will be about $1.6 trillion, and the Treasury will be without its primary (over and above the maximum even with the Pension looting) source of capital.