Who are the "primary dealers" that work with the U.S. Federal Reserve Bank? (Free Gift: Answer is they are the 23 large financial institutions located in New York that deal with the Fed). Multiple Choice The primary dealers are enemies of the Federal Reserve Bank. They are the deep operatives from Russia, Iran, North Korea, and others who are trying to damage U.S. financial markets, the value of the U.S. dollar in overseas markets, and the general reputation of the United States. The Office of Terrorism and Financial Intelligence are fighting these entities on a daily basis. The primary dealers are the other central banks around the world like the European Central Bank and the Bank of Japan. The primary dealers are 23 large financial institutions that trade with the New York Federal Reserve trading desk and they are the ones who buy and sell bonds from the Fed. None of the above