The Federal Reserve's balance sheet has undergone significant changes since 2007, reflecting its response to major economic crises. From a modest *** trillion U.S. dollars at the end of 2007, it ballooned to approximately *** trillion U.S. dollars by August 2025. This dramatic expansion, particularly during the 2008 financial crisis and the COVID-19 pandemic - both of which resulted in negative annual GDP growth in the U.S. - showcases the Fed's crucial role in stabilizing the economy through expansionary monetary policies. Impact on inflation and interest rates The Fed's expansionary measures, while aimed at stimulating economic growth, have had notable effects on inflation and interest rates. Following the quantitative easing in 2020, inflation in the United States reached ***** percent in 2022, the highest since 1991. However, by July 2025, inflation had declined to *** percent. Concurrently, the Federal Reserve implemented a series of interest rate hikes, with the rate peaking at **** percent in August 2023, before the first rate cut since September 2021 occurred in September 2024. Financial implications for the Federal Reserve The expansion of the Fed's balance sheet and subsequent interest rate hikes have had significant financial implications. In 2023, the Fed reported a negative net income of ***** billion U.S. dollars, a stark contrast to the ***** billion U.S. dollars profit in 2022. This unprecedented shift was primarily due to rapidly rising interest rates, which caused the Fed's interest expenses to soar to over *** billion U.S. dollars in 2023. Despite this, the Fed's net interest income on securities acquired through open market operations reached a record high of ****** billion U.S. dollars in the same year.

View the total value of the assets of all Federal Reserve Banks as reported in the weekly balance sheet.

From 2003 to 2025, the central banks of the United States, United Kingdom, and European Union exhibited remarkably similar interest rate patterns, reflecting shared global economic conditions. In the early 2000s, rates were initially low to stimulate growth, then increased as economies showed signs of overheating prior to 2008. The financial crisis that year prompted sharp rate cuts to near-zero levels, which persisted for an extended period to support economic recovery. The COVID-19 pandemic in 2020 led to further rate reductions to historic lows, aiming to mitigate economic fallout. However, surging inflation in 2022 triggered a dramatic policy shift, with the Federal Reserve, Bank of England, and European Central Bank significantly raising rates to curb price pressures. As inflation stabilized in late 2023 and early 2024, the ECB and Bank of England initiated rate cuts by mid-2024, and the Federal Reserve also implemented its first cut in three years, with forecasts suggesting a gradual decrease in all major interest rates between 2025 and 2026. Divergent approaches within the European Union While the ECB sets a benchmark rate for the Eurozone, individual EU countries have adopted diverse strategies to address their unique economic circumstances. For instance, Hungary set the highest rate in the EU at 13 percent in September 2023, gradually reducing it to 6.5 percent by October 2024. In contrast, Sweden implemented more aggressive cuts, lowering its rate to two percent by June 2025, the lowest among EU members. These variations highlight the complex economic landscape that European central banks must navigate, balancing inflation control with economic growth support. Global context and future outlook The interest rate changes in major economies have had far-reaching effects on global financial markets. Government bond yields, for example, reflect these policy shifts and investor sentiment. As of December 2024, the United States had the highest 10-year government bond yield among developed economies at 4.59 percent, while Switzerland had the lowest at 0.27 percent. These rates serve as important benchmarks for borrowing costs and economic expectations worldwide.

The Federal Reserve Act of 1913 created the Reserve Bank Organizing Committee which divided the counties of the United States into twelve Federal Reserve Districts each with its own Federal Reserve Bank. The size and vitality of these districts varied. Some were densely populated with substantial urban areas and large industries. Others were sparsely populated and largely rural with the preponderance of the population working in agriculture. Some grew rapidly. Others grew slowly. To help understand the Fed’s role in the evolution of the U.S. economy, we construct a dataset with estimated annual population in each Fed district from 1890 to 1950.

Graph and download economic data for Relative Importance Weights: Energy, Total (RIWB50089S) from Jan 1972 to Jun 2025 about contributions, energy, IP, production, industry, indexes, and USA.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Final Products was 38.50% in July of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Final Products reached a record high of 42.98 in January of 2002 and a record low of 36.08 in June of 2014. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Final Products - last updated from the United States Federal Reserve on September of 2025.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Total Index was 100.00% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Total Index reached a record high of 100.00 in February of 1972 and a record low of 100.00 in February of 1972. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Total Index - last updated from the United States Federal Reserve on July of 2025.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy, Total was 27.66% in July of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy, Total reached a record high of 32.00 in January of 2014 and a record low of 13.58 in March of 1973. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy, Total - last updated from the United States Federal Reserve on September of 2025.

This paper explores simultaneous developments in the banking sector and the real economy during the Great Depression and whether these are related to shifts in beliefs about economic prospects. It identifies a notable coincidence of bank closures and declines in consumer durable consumption (new automobile purchases) in Ohio in the early 1930s. To examine whether shifts in beliefs and the economic concerns of households and businesses may have mattered, I test whether keywords from local newspapers related to economic prospects or sentiments are associated with subsequent bank closures and declines in automobile purchases. The results support the idea that beliefs mattered, even after accounting for economic fundamentals. The analysis also highlights the importance of local economic conditions in determining behavior.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Consumer Goods was 27.44% in July of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Consumer Goods reached a record high of 30.68 in July of 2003 and a record low of 21.18 in June of 1981. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Consumer Goods - last updated from the United States Federal Reserve on August of 2025.

Graph and download economic data for Relative Importance Weights: Manufacturing: Durable Goods: Computer and Electronic Product (NAICS = 334) (RIWG334S) from Jan 1972 to Jul 2025 about contributions, computers, electronics, IP, durable goods, production, goods, manufacturing, industry, indexes, and USA.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Agriculture, Forestry, Fishing and Hunting: Logging (NAICS = 1133) was 0.12% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Agriculture, Forestry, Fishing and Hunting: Logging (NAICS = 1133) reached a record high of 0.36 in April of 1977 and a record low of 0.12 in June of 2025. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Agriculture, Forestry, Fishing and Hunting: Logging (NAICS = 1133) - last updated from the United States Federal Reserve on July of 2025.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Equipment: Information Processing and Related Equipment was 1.77% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Equipment: Information Processing and Related Equipment reached a record high of 4.42 in April of 1999 and a record low of 1.64 in July of 2022. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Equipment: Information Processing and Related Equipment - last updated from the United States Federal Reserve on July of 2025.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Nonindustrial Supplies was 15.73% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Nonindustrial Supplies reached a record high of 16.69 in May of 2020 and a record low of 12.09 in October of 1981. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Nonindustrial Supplies - last updated from the United States Federal Reserve on August of 2025.

United States USD Trade Weighted Index: Nominal: Other Important Trading Partner data was reported at 168.237 Jan1997=100 in Nov 2018. This records an increase from the previous number of 166.528 Jan1997=100 for Oct 2018. United States USD Trade Weighted Index: Nominal: Other Important Trading Partner data is updated monthly, averaging 96.825 Jan1997=100 from Jan 1973 (Median) to Nov 2018, with 551 observations. The data reached an all-time high of 168.237 Jan1997=100 in Nov 2018 and a record low of 1.998 Jan1997=100 in Jul 1973. United States USD Trade Weighted Index: Nominal: Other Important Trading Partner data remains active status in CEIC and is reported by Federal Reserve Board. The data is categorized under Global Database’s United States – Table US.M016: US Dollar Trade Weighted Index.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Business Supplies was 10.38% in July of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Business Supplies reached a record high of 11.69 in June of 2009 and a record low of 8.42 in August of 1981. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Business Supplies - last updated from the United States Federal Reserve on August of 2025.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Commercial Energy Products was 2.87% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Commercial Energy Products reached a record high of 2.90 in January of 2025 and a record low of 1.43 in January of 1972. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Commercial Energy Products - last updated from the United States Federal Reserve on July of 2025.

Graph and download economic data for Relative Importance Weights: Final Products (RIWB50002S) from Jan 1972 to Jul 2025 about contributions, IP, production, industry, indexes, and USA.

Graph and download economic data for Number of Foreign Banks That Eased and Reported That Improvement in Industry-Specific Problems Was a Very Important Reason (SUBLPFCIREIVNQ) from Q2 1992 to Q2 2021 about ease, foreign, banks, depository institutions, industry, and USA.

United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy Materials was 18.67% in June of 2025, according to the United States Federal Reserve. Historically, United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy Materials reached a record high of 24.25 in June of 2014 and a record low of 8.75 in May of 1999. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Relative Importance Weights (Contribution to the Total Industrial Production Index): Energy Materials - last updated from the United States Federal Reserve on July of 2025.