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Russia Dumps Most US Paper Ever As China Reduces Treasurys Holdings To January 2013 Levels
Back in December, Socgen spread a rumor that Russia has begun selling its gold. Subsequent IMF data showed that not only was this not correct, Russia in fact added to its gold holdings. But there was one thing it was selling: some $22 billion in US Treasurys, a record 20% of its total holdings, bringing its US paper inventory to just $86 billion in December - the lowest since June 2008.
It wasn't just Russia: the country that has ever more frequently been said to be in the same camp as Russia - and against the US - namely China, also sold another $6 billion in Treasurys in the last month of 2014, which would have made its US treasury holdings equal with those of Japan, if only Tokyo hadn't also sold over $10 billion in the same month.
And while we know that Russia used at least some of the proceeds to buy gold, the bigger question is: just what is China buying with all these stealthy USD-denominated liquidations, and how much gold does the PBOC really have as of this moment.
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Consider that many portfolio managers must balance bond assets with equity assets.
Continuing run up in SPY creates demand for bonds.
Ruskies should have dumped all t-notes/bonds, tell the western banks to fuck off, and "postpone" all debt payments untill all sanctions are lifted.
Tit 4 Tat everybody understands.
>>> Q. the bigger question is: just what is China buying with all these stealthy USD-denominated liquidations ?
And the answer is:
A F R I C A
It took decades and many US Presidents to make nice nice with Russia. It took weeks for Obama to throw it all away. Waiting for his next blunder.
Seriously, a blunder are you paid to say stupid shit so we can all forgive his blunders.. You have to be pretty damn dense to think he is blundering or your paid to say it.. Batt77 peter puffers.....
Puutie has been determined to reestablish the USSR. It is remarkable how these totalitarian rulers of oil exporters get convinced that they can control anything they want. The flush of the cash from oil sales must give them all a power rush to build up the police state to insure they can remain in power forever. It happens to all of them. Combine that with Puutie's KGB determination to enforce internal control of all opposition and we see a fortunate gerbil destroying his country. Puutie made his own share of blunders and the Russian people are about to return to serfdom. Puutie will just tell them it is all bad luck.
Would you also be inclined to suggest the president of the USA is a kgb op? I've never understood why folks claim he's a cia op.
"Puutie has been determined to reestablish the USSR."
Sorry, I don't buy this. The evidence available tells me that Putin wants (wanted?) Russia to be a fully paid up member of the global community because he knows the USSR failed and cannot be reborn. Times change and people move on. Putin is not a Soviet commie, not by a long way.
ha ha ha! you must rely on Brian Williams for your news ROFL!
I've never watched Brian Williams. Not once.
Please feel free to post evidence that Putin is a commie and wants to recreate the USSR. If anything, he leans towards being an oligarch or corporatist, but not a Soviet commie.
'Putin is not a Soviet commie, not by a long way'.
Lol...yeah, thats why when anyone dares to chide Putin in the press, they go missing or jailed...fuck you, Putin is a dick taster all the way, repressing any negative opinions, the mark of a true coommie state
You are suffering from Stockholm Syndrome...a victim of too much MSM propaganda.
Ask yourself how many people are assassinated or disappeared in the West because they fell out with .gov and risked exposing deep corruption and criminality inside .gov. In the UK alone in recent times Dr Kelly was the UK's leading expert on WMD in Iraq but disagreed with Blair's plan to invade Iraq. He apparently suicided himself by slashing his own wrists. More recently, Gareth Williams was a GCHQ/MI6 operative who revealed that British .gov (GCHQ/MI6) was manufacturing terror plots in the UK to justify draconian anti-liberty laws. He apparently suicided himself by locking himself (padlock and key) inside a large holdall in his own bath. Before doing so he turned up the heating to speed up body decomposition. MI6 waited a full 6 days before reporting him missing to the police and then refused to co-operate with them in the investigation.
In the US there is a long list of people who committed suicide because they fell out with US .gov or were about to expose corruption or criminality at the highest levels.
I'm not trying to make excuses for Putin, just pointing out that exactly the same things go on in the West by your .govs. But our MSM fails to report most of it.
You need to stop taking the kool-aid.
Discribes O'blah blah--blah, blah and USA, USA perfectly. Milestones
Please explain which Presidents and which decades was those?
cos we missed it...except for little periods when US say one thing, but soon show real face...
It's no great mystery what China is doing with those dollars. They are using them to bail out countries with large and troublesome dollar debts, in exchange for political influence. Since the dollar will become worthless before very long (which they know very well), that's just about all their bloated pile of Treasurys is good for.
Ah...financial instruments, the perfect dirty little secret of.....
Money ain't nothing....but perhaps a mere believe system.
Paper money,.. created out of thin air (a computer entry) by Govt's Central Banksters is/was never intended to be "paid back", since it's fantasized invention (money) never exisited in the first place,... pay it back to who?
Hence the dirty little secret: Govt debt do not matter!
Govt's and the mafia banksters want to keep it secret so that, you, I and everyone else continues to make payments to,... the banksters.
That's right Virginia, if you don't pay your "debt", trees still grow and the sun still shines!
And don't forget that "ownership is 99% of law.
except law is giving way to regulation under global governance structures
Ever wonder if this isnt a clever plan to have 'unfriendly' nations reduce their treasurys to a level that they cant use to T-bomb the US in one hit?
Maybe my feeble mind, not informed by alcohol and cocaine abuse, doesn't understand. But why would the powers that be allow for any leverage to be maintained against them? The spying that led to the Soviets stealing the nuke seems like a slip up.
But why would they repeat it by allowing tbills to be used as weapons?
Maybe I don't understand profiting from destruction.
Most of what the Soviets had was USA in origin, whether materials or expertise. The Rockefeller group was responsible for doing most of the transfers. Look up Western Technology and Soviet Economic Development by Antony Sutton.
Big deal - It hasn't affected the USD at all. It is up big over the past 9 months.
It won't be Russia by herself that screws things up here. They will have the help of nearly every single US politician and banker. Now that's a winning combination.
What you get when you fuck with other peoples lives!...
To Russia: Keep "dumpin" HARD!!!
I want to wake up within the next 4 months and see NYSE, NASDAQ and S&P flatlining!
yeah kind of like the price of oil...right fuckstick?
yeah kind of like the price of oil...right fuckstick?
You forgot to mention Au and Ag dick for breath!...
Yeah and who is responsible for messing the oil show up?... I think your name should be nuke Saudi Arabia then Israel as this is what you obviously don't understand!
wtf is Japan doing? If I had to speculate, I would say they're preparing to trash the fuck out of the yen. While the yen is still worth something, print fuckloads of it, buy US treasuries, trash the shit out of the yen to effectively default on pension obligations, then sell the US treasuries.
Forget treasuries and imagine doing it with gold. You can print money to buy gold, you buy as much gold as you can, you print your currency until all debts have effectively been wiped out and the currency has crash, and then sell the gold. China and Russia are running from the dollar. Japan is running from the yen.
strange tic data was delayed two days.. then it comes out on the same day FED minutes show dovish bias.
Also strange US had strong employment for Dec and Jan, and the Jan meeting was a time when many FED officials implied rates were too low given recovery.
Now foreigners sell tres and all of a sudden, the were actually dovish even thinking about easing .
Please this is just adjusted depending on tres yields, the level of manipulation is at biblical level they have no shame
Maybe I should take a third mortgage and buy US equities. LOL I am sick of waiting for this buble to burst... Get on with it already
They are not called Treacheries for nothing....
Are stated holdings/movement of US Treasuries more accurate than the same for gold?
They are both certified as 100 % accurate by the BLS.
Why does it feel like the U.S. is becoming more isolated from the world economy? I don't understand...the TEEVEE told me that it is Russia that is being isolated from the world economy, and Matt Lauer would not lie!
Talktolind: Why does it feel like the U.S. is becoming more isolated from the world economy? I don't understand...the TEEVEE told me that it is Russia that is being isolated from the world economy, and Matt Lauer would not lie!
Don't sweat it. We just need to bomb / drone / kill more people and print fiat. We got it covered.
Because it is you that is isolated.
How do those $50 per barrel oil prices taste? hunh?
Now there is some isolation for the one trick oil pony...fuck you
Yes! Now this! This will cause the great collapse and apocalypse that the ZHer crowd is begging, no, fucking praying for! Good luck ZHers. Hope it goes your way.
Ummm there is a difference between knowin that something will eventually happen and hoping or praying for that event. But suit yourself and keep watching CNBC and buying your bank stocks.
There is a very large difference between knowing something will eventually happen and knowing when it will happen. All will end, one day. But that's not much use to anybody.
I'm ok with a collapse. It'll suck at times, but it'll still be better than this bullshit pop culture/wellfare culture we have now.
Once the grid goes down and supply lines fail, quality of life will plummet for those not 100% prepared. It will be like long term camping, with limited supplies, for many people.
Jim Willie sez China converting USless Treasury holdings to hard commercial and productive assets. Like USless farmland.
And lower Manhattan office space? They should buy the Standard Oil HQ. But don't know if they have any use for the satanic altar on the roof.
I'm surprised it took them so long
Fuck yea, get rid of the toilet paper.
Nobodycouldaknowed.
With the collapse of the dollar we need the trans-atlantic partnership so that all our slaves will have all the sub-minumum wage jobs and insects to eat that they can handle.
Meh
Darn Russians -- imagine... selling treasuries when prices are at all-time highs.... and buying gold when it sits near multi-year lows.... That's positively un-American!
Tomorrow is the Chinese New Year.... THE YEAR OF THE SHEEP!!!! THE Stuff is going to hit the fan this year.
Good. Let it hit.
John Forbes Kerry just go his sanction bluff handed back on a silver platter. So did the administration who guided Kerry to talk as a sock puppet. You have to stop this insanity. American's are not going down with your fucking psychopathic beliefs. You're on your own.
John, bet your henchman gets it in the back of the head. Society has grown tired of US Government childlike games. Start acting like adults..
I'm fourth generation in the United States of America. I've never seen our county so disenfranchised. Keep pushing the envelope, bullets will rain down on this administration. At the age of 47, I can't believe how that Kenyan Nigger is transforming this great country, in the wrong direction.
John, you are older than I. We were taught to fight against communist. How do you manage to sleep at night? Do you lay in bed and spoon your wife’s ketchup packets? You’re a royal fucking idiot who needs to be removed from the taxpayer expense. If you have some issues with conducting your job, tell us.
I guess the Russians and Chinese don't believe old Yellen....
Old Yeller is cottontail. She is trying to Section 8 with a new rabbithole.
/sarc
Full faith & Credit comin' home....
Wondering if that Bundy ranch deal closed yet. Reminds me, how's the eye Harry?
Famous last words - "Hey look, I've got these papers that say I'm RICH!"......(cue for laugh track machine).....
Russia doesn't have enough to 'dump' to meaningfully impact the Treasury market.
But at least Vlad is taking a dump!
They need just to hit the right point in time and the avalanche rolls on.
Are y'all Putin Fan Club members planning on doing anything in furtherance of your hatred of America, or is it all just talk?
Now, don't get all bashful on me!
Someone once said that the opposite of love isn't hate. It's indifference. There are at most 10,000 Americans to whose fate our masters aren't completely indifferent. The rest of us are tools, means to an end, to be discarded when no longer useful. When some of those 10,000 find a way to replace humans with machines that can do anything a human can do, we'll have outlived our usefulnesseven as slaves. And our masters will murder us all without batting an eyelash.
Trust me, they've got the undoing of America covered, far better than anyone dreaming of a leadership who might actually take their side against the banksters ever could.
I want both America and Russia to endure and thrive. That won't happen if the banksters have their way. Their system is in nobody's long-run interest. It is a recipe for the extinction of all humanity.
If few are buying and existing holders are selling, I wonder how long it will be before the Fed owns ALL US Treasuries.
Wrong. Check above my post.
If China is selling, who's buying?????
Belgium bitchez!
Belgium has been selling since March 2014 high of $ 381.4 B.
Hong Kong.
FED.
They monetize the papers and pass it to the banks.
This is Power, Proclaim "It is time for a New World Order:"
- US makes Global Players rich enough to buy huge US LT Treasury Holdings, Sovereign & Corporate marriage
- After all if the State is Hegelian, Ultimate Authority in all Countries, why not help them build their wealth, add to the stability of the Country, Empower them to Defend the State against Citizens... even if the citizens are not being lifted up
- Meets a Strategy for Global Government, Global Hegemony, Global Currency, and a True Hegelian, Ultimate State Government over the World
Below shows Strength, Power of US Central Bank, US Military & US Government. Repost:
You are either with US or Against US.
- It is like the G.W.B. people went to all the countries in 2002 and said, "well we're in charge. Get used to it. We are taking over all Economies".
- OR G.W.B said "Prepare, we are going to blow up the Financial Markets and everything is going to change".
Check page 35 of both TICData reports (2002 & 2013) for Belgium, Cayman Islands, and Luxemburg. LT US Treasuries go from $10 Billion to $366 Billion. (partly due to safe haven effect, but also due to Financial System on Steroids) Or just take a look below to refresh your memory.
Remember to add China and Hong Kong together for total.
http://www.treasury.gov/ticdata/Publish/shl2002r.pdf
http://www.treasury.gov/ticdata/Publish/shla2013r.pdf
(http://www.treasury.gov/ticdata/Publish/mfh.txt)
http://www.bea.gov/newsreleases/international/intinv/iip_glance.htm
Last Data is from December 2014.
Belgium 2002 = $10.8 B, then 2013 = $163 B, Today $335 B
Bermuda 2002 = $14 B, then 2013 = $94 B, Today ??
Cayman Islands 2002 = $10.7 B, then 2013 = $66 B, Today ??
Canada 2002 = $8.4 B, then 2013 = $46.6 B, Today $69 B
China 2002 = $95 B, then 2013 = $1,272 B, Today $1244 B
France 2002 = $11 B, then 2013 = $42.4 B, Today $79.2 B
Germany 2002 = $38 B, then 2013 = $54 B, Today $72.7 B
Hong Kong 2002 = $37 B, then 2013 = $89 B, Today $172.6 B
India 2002 = $5.2 B, then 2013 = $56.6 B, Today $83 B
Ireland 2002 = $6 B, then 2013 = $91 B, Today $138.6 B
Japan 2002 = $260 B, then 2013 = $1,023 B, Today $1231 B
Luxemburg 2002 = $20.2 B, then 2013 = $107 B, Today $172 B
Mexico 2002 = $16.7 B, then 2013 = $52.7 B, Today $84.8 B
Norway 2002 = $5 B, then 2013 = $74 B, Today $81.6 B
Philippines 2002 = $3 B, then 2013 = $36 B, Today $40.6 B
Poland 2002 = $7 B, then 2013 = $31 B, Today $27 B
Russia 2002 = $3 B, then 2013 = $138 B, Today $86 B
Singapore 2002 = 19.4 B, then 2013 = $82 B, Today $110 B
Switzerland 2002 = $28 B, then 2013 = $157 B, Today $190 B
Taiwan 2002 = $0 B, then 2013 = $183 B, Today $175 B
Turkey 2002 = $2 B, then 2013 = $18 B, Today $77 B
United Kingdom = $45.7 B, then 2013 = $130.6 B, Today $189 B
Russians calling a "market" top LT Treasuries?
No. Russia is facing government revenue problems, currency crash, economic sanctions that probably will require government spending, they set up a new financial system to replace Swift, and they are spending on defenses and operations in Ukraine.
They just need cash.
Russia sold more paper in march than in december - 25,8 bln. However the total selling for the year is a record >50bln.
About russian central bank buying gold you are being consistently wrong - CBR buys gold from local producers, not in the open market. It is a sort of mini-QE in Russia - buying assets with printing press.
The other form of QE CBR has developed recently is buying dollars from MinFin. As you may know, about half of Russia's reserves are sovereign funds which are managed by finance ministry. Now they are converting some part of these funds into rubles, effectively selling them to central bank which is on high printing alert since military spending is eating a huge part of ever diminishing dollar revenues.
the "local producers" have a canadian ownership (60%)
buying assests with printing press does not work.
It is an exchange/monetization of treasuries into gold.
The point is that CBR buys gold not with dollars but with rubles printed out of thin air.
Dollars CBR gets from treasuries sales go to interventions and dollar repos - in effect they land in western banks in form of loan repayments by russian corporations.
Gave you a point.
But the expression of selling US LT Treasuries to buy Gold probably comes from a logic from budgets.
If US Gives $10 Million tax break to a corporation, who then builds a $10 Million dollar factory in China and cuts US Labor force... we can say this has a relationship.
Like if Big Banks give big bonus money to executives for clean up after 2008 Crash while the government gave them tax write offs, bought their toxic assets, and even gave them $700 Billion with management fees to bail out the banks... then there is a Relationship.
Your details above sound like they are more technically correct though.