Says Warren Buffett:

  • “The Fed is the greatest hedge fund in history”
  • It’s generating “$80 billion or $90 billion a year probably” in revenue for the U.S. government

The Fed “is under no pressure, none whatsoever to have to deleverage,” Buffett said. “So it can pick its time, and if you have somebody wise there — and I think Bernanke is wise, and I certainly expect his successor to be — it can be handled. But it is something that’s never quite been done on this scale. It will be interesting to watch.”

More detail at this Bloomberg report.

Imagine if Bernanke was on 2 and 20! He’d have a bit more than this.