The combination of a falling dollar and rising US interest rates has sparked a concern never far from the surface about the foreign demand for US Treasuries. Moreover, as the Fed’s balance sheet shrinks, investors will have to step up their purchases. This Great Graphic was created by the Institute of International Finance (IIF). It is drawn from the US TIC data that tracks foreign holdings of US Treasuries. The most...
Read More »
Summary: Japanese investors bought foreign bonds in the last week of March for the first time in nine weeks. Foreigners bought the most Japanese stocks since last April. The pain trade is for a break of JPY110. Japan’s Ministry of Finance reports portfolio flows on a weekly basis with a week lag. The data just reported covers the last week in March, as the Japanese fiscal year was drawing to a close. Japanese...
Read More »
The following observations are drawn from the weekly report of Japan’s Ministry of Finance unless noted otherwise. We use the weekly data instead of monthly to identify changes of trend earlier. We use simple convention of the week by the last rather than the first day. That means that the report for the week ending April 1 is the first week of April. To smooth out the volatility, we will often refer to a four-week average. The latest MOF report was released earlier today. 1....
Read More »
Swiss Economicblogs.org
