Monday, November 18, 2019 9:00 PM EDT
The US Treasury released Treasury International Capital data this afternoon. TIC flows represent the net purchase and sales of stocks, bonds, and monies between the US and foreign countries. The report showed a Net Long-Term TIC inflow of $49.5 billion for September. The report compares to August’s numbers where outflows of $41.2 billion were recorded.
Although the US Dollar had a muted reaction – likely overshadowed by this morning’s meeting between Powell and Trump – the TIC report could cap downward short-term pressure on the Greenback as inflows of Treasury International Capital is generally bullish.
NET LONG-TERM TIC FLOWS WITH 6-MONTH MOVING AVERAGE
(Click on image to enlarge)
China’s holdings of US Treasuries remained largely unchanged at $1,10 trillion. However, Japan’s holdings of US Treasuries decreased by $28.9 billion, even with the decrease Japan remains the top foreign holder of US Treasuries at $1.15 trillion. In total, foreign holders of US Treasury Notes and Bonds decreased by $34.32 billion, the second consecutive month decline for foreign holders of US Treasury debt.
NET FOREIGN TRANSACTIONS OF LONG-TERM US SECURITIES (BILLIONS)
(Click on image to enlarge)
While long-term portfolio securities saw an inflow, the cross-border investment for September saw an outflow of $37.6 billion, mostly lead by the decrease in holdings of Treasury securities. The report also unveiled $8.8 billion net buying of equities and $14.9b in purchases of US corporate debt.
Disclaimer: DailyFX, the free news and research website of leading forex and CFD broker FXCM, delivers up-to-date analysis of the ...
more
Disclaimer: DailyFX, the free news and research website of leading forex and CFD broker FXCM, delivers up-to-date analysis of the fundamental and technical influences driving the currency and commodity markets. With nine internationally-based analysts publishing over 30 articles and producing 5 video news updates daily, DailyFX offers in-depth coverage of price action, predictions of likely market moves, and exhaustive interpretations of salient economic and political developments. DailyFX is also home to one of the most powerful economic calendars available on the web, complete with advanced sorting capabilities, detailed descriptions of upcoming events on the economic docket, and projections of how economic report data will impact the markets. Combined with the free charts and live rate updates featured on DailyFX, the DailyFX economic calendar is an invaluable resource for traders who heavily rely on the news for their trading strategies. Additionally, DailyFX serves as a portal to one the most vibrant online discussion forums in the forex trading community. Avoiding market noise and the irrelevant personal commentary that plague many forex blogs and forums, the DailyFX Forum has established a reputation as being a place where real traders go to talk about serious trading.
Any opinions, news, research, analyses, prices, or other information contained on dailyfx.com are provided as general market commentary, and does not constitute investment advice. Dailyfx will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
less
How did you like this article? Let us know so we can better customize your reading experience.