The latest statistics on Tuesday (Oct. 19) show that the overseas market for US Treasuries changed greatly in August, with both Japanese and British buyers continuing the overweight operation last month. Among themThe size of Japanese US debt ranges fromIncreased to 1.3198 trillion from 1.3102 trillion in JulySet a new record, up $9.6 billion from the previous monthThe United KingdomBig money bought $29.5 billion in Treasuries and now holds $569 billion in Treasuries.
Unlike these two countries, among the top 20 overseas "financiers" of US debtIndia, Switzerland, Singapore, Saudi Arabia, etc.All eight buyers chose to sell Treasuries.Of this total, India sold $2.2 billion of Treasuries, Switzerland reduced its holdings of Treasuries to $294.7 billion, Singapore sold $1.1 billion of Treasuries, and Saudi Arabia also sold $4 billion of Treasuries.这The top eight buyers sold a total of 45.9 billion of US bonds.
In fact, since the epidemic, the economy of the United States has been hit hard, in order to save the economic downturn, the country has adopted large-scale water treatment measures. But after the Trump administration turned on the faucet,，The situation in the United States is still not optimistic, so after Biden came to power, his answer is still: continue to print money. As more and more dollars circulate on the market, the dollars become less and less valuable.
You know,Now the United StatesThe yield on 10-year bonds has risen to 1.607%.That means more bondholders are choosing to sell Treasuries. Not only are overseas investors fleeing the "pit" of US debt, but even the American public have begun to sell US debt. Statistics show that excluding the top 1% of the richest people in the United StatesThe restNinety-nine per cent of Americans have sold nearly $400 billion of US debt compared to the period when their debt holdings were at their peak.
It is worth mentioning that the single-minded release of water in the United States has also exacerbated the current flood of inflation in the country, which has not come down since it broke through 5%. therefore,The Fed had to plan to make a last resort.-- cut back on bond purchasesThis means that the Fed, the largest buyer of US debt, will also "let go" completely. Against this backdrop, Japan and Britain continue to buy US debt, and these two countries may want to be the new generation of debt pickups?
Text | Zhang Jianlin title | Xu Xiaobing Tu | Lu Wenxiang Review | Lu Jiamin