• Entertainment
  • Finance
  • Marketing
  • Real Estate
  • Technology
  • Social
National Journal Community Of e-Experts
Finance 0

It’s Not China That’s Dumping US Treasuries…

By Kurt Osterberg · On April 16, 2018

Recent fears, warranted or not about the potential for retaliatory liquidation by China of its US Treasury holdings appear to have been exaggerated because according to the latest TIC data released, the trade-war enemy added $8.5 billion in TSYs in February (the most of any nation and the biggest monthly addition in six months)…

But while China, for now – given the lagged data, is still buying, two other notable nations are selling… significantly.

The second largest foreign US creditor, Japan, that has been liquidating in recent months, and in February, Japan sold $6.3 billion in TSYs (the most of any nation in February), bringing its total to $1,059.5BN, the lowest total since the start of 2012.

And along with Japan, Russia dumped Treasuries for the 3rd straight month to the lowest in a year…

Other notable holders were mixed:

  • The United Kingdom added $7.2BN to $250.5BN
  • Belgium, i.e. the proxy for China and other anonymous buyers, rose by $2.0BN to $125.7BN
  • Cayman Islands, i.e. hedge funds, also added some $10.3BN to $252.2BN (the biggest jump since Dec 2015
  • All this Treasury buying (and selling) was during the chaotic swings of February’s fiasco in short-vol trades: recall TIC data is 2 months delayed. But March will likely be the big tell as that’s closer to the beginning of escalating trade war tensions.

    Meanwhile, the good news for all these buyers of US debt is that thanks to Trump’s budget, there’s plenty more where that came from.

    Looking at the broader universe of all US International capital transactions, in February, foreign public and private entities bought a total of $43.2BN in Treasurys while also buying $11.8BN in Agencies; they also added a modest $4.1 BN in corporate bonds.

    But the biggest surprise – or perhaps not considering what happened in February – is that after buying a near-record $57.9BN in US equities in February, in March, foreigners hit the brakes on further US stock purchases, and actually sold $1.2BN in stocks, the first month of net sales going back to August 2017.

    Print Friendly, PDF & Email

    Share Tweet

    Kurt Osterberg

    You Might Also Like

    • Finance

      STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

    • Finance

      NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

    • Finance

      5 NFTs Trending on Twitter Going Cheap to Invest in Now

    No Comments

    Leave a reply Cancel reply

    Top Finance

    • 3 Best Large-Cap Blend Mutual Funds For Enticing Returns 3 Best Large-Cap Blend Mutual Funds For Enticing Returns
    • What is Value Chain Analysis? How to Deliver Value & Gain a Competitive Advantage What is Value Chain Analysis? How to Deliver Value & Gain a Competitive Advantage
    • Hedge Funds In The US Hedge Funds In The US
    • 5 Ridiculously Useful Non-Monetary Reward Examples that Improve Employee Engagement 5 Ridiculously Useful Non-Monetary Reward Examples that Improve Employee Engagement
    • Chart: Amazon’s Dominance In Ecommerce Chart: Amazon’s Dominance In Ecommerce

    New Posts

    • STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

      STEPN Sneaker NFTs Sell For $100, Previously Worth $1200

      June 20, 2022
    • NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

      NFT Prices in Free Fall – 5 NFT Collections to Start Buying Today

      June 20, 2022
    • 5 NFTs Trending on Twitter Going Cheap to Invest in Now

      5 NFTs Trending on Twitter Going Cheap to Invest in Now

      June 20, 2022
    • Bill Gates – ‘NFTs & Crypto Based on Greater Fool Theory’

      Bill Gates – ‘NFTs & Crypto Based on Greater Fool Theory’

      June 20, 2022
    • Actor Seth Green Pays $300,000 to Recover his Stolen BAYC NFT

      Actor Seth Green Pays $300,000 to Recover his Stolen BAYC NFT

      June 20, 2022
    • About
    • Contact Us
    • Privacy & Policy
    • Sitemap
    • Terms of use

    Copyright © 2018-2021 NJCEE. All Rights Reserved.