[yieldcrv]

basically the mechanism that the Fed uses to keep interest rates low involves creating a lot of new money and using that to buy bonds from other people, manipulating the market for bonds (high priced bonds = low interest rates).

Most of those bonds were government treasuries, but other bonds were corporate bonds - sheets of paper that say I'll pay you back in 10 years - and sold directly to the fed for newly created money. so the corporation printed money and got newly created money in exchange. they just have to pay it back in 10 years at like 2% interest a year. Many of those corporate issuers parked that money in private equity firms, or were private equity firms themselves, if they weren't directly hiring employees for pet projects - the private equity firm would be investing in newly formed pet projects.

All of that has stopped now, as the fed stopped buying bonds and doing the most to get interest rates high. Doing everything except selling the bonds they bought.