Tyler Durden
ZerohedgeTue, 16 Feb 2016 03:24 UTC
There has been much speculation whether foreign official institutions (central banks, SWFs, reserve managers and so on) are selling Treasurys or equities, or both as part of the Quantitative Tightening phenomenon.
Moments ago, courtesy of the latest TIC data we have an answer: based on the
monthly flow report breaking down Treasury transactions between foreign official and private entities, in December the far more important, former, group
sold $48.1 billion in US Treasurys: the highest single monthly outflow on record.
This was partially offset by a $12.2 billion purchase by Private buyers, however as the chart below shows, on an LTM basis [last twelve months], December saw a total of $20.3 billion in selling, and was the third consecutive month of net selling by foreigners.
This was the first such occurrence in 15 years.Finally, for all those curious what China is doing with its US Treasury holdings, using the TIC's stock data, we find that between China and its offshore trading proxy "Belgium",
China dumped another $41 billion in TSYs, a move which continues to track the decline in its official reserve holdings almost TIC for TIC, pardon the pun.
Comment: U.S. Treasury notes not so safe anymore? Wonder what the powers-that-be have in mind in the near future, an economic collapse perhaps? Will the U.S. run out of buyers for their treasury notes?
From Martin Armstrong Blog
Larry Summers Calls to End $100 Bills — Here Comes the Totalitarian State
[Link]
Larry Summers, the father of NEGATIVE INTEREST RATES, is so against a free society and looks upon us an dumb cattle to be herded at his pleasure. His ideas are just beyond belief. Now Mr. Pro-Government-Anti-Democracy is advocating killing the $100 bill. He is moving to electronic money so that government can get all the taxes it ever dreamed of. We are rapidly being converted from milk cows to just beef cows. This is creating a completely totalitarian future. With people like this who never had a real job but knows who to dictate to the world, our future looks very bleak.[Link]