That isn’t what’s happening but, they are on an unrestrained buying spree.
I agree, there are wholesalers and others buying up everything they can get there hands on and this cuts the items that the Feds have no use for in thier buying spree.
The factors combine for the effect we have now in the retail market.
I can’t imagine that the feds are buying all the rimfire but I can imagine that 9mm and Nato rounds are being purchased in stupid quantaties.