Treasury’s purchases for LT securities much slower than consensus

Today the data on Treasury International Capital was released and it showed net foreign purchases of $11.2bn, a much lower figure than the consensus of $60bn.  The breakdown of the reported data is as follows:

Net foreign purchases of long-term U.S. securities were $34.3 billion – $18.3 billion was by private foreign investors,  while the rest was by foreign official institutions.  Out of the total, U.S. residents purchased a net $23.0bn.

The report also stated:

Foreign holdings of dollar-denominated short-term U.S. securities, including Treasury bills, and other custody liabilities decreased $39.4 billion. Foreign holdings of Treasury bills decreased $44.5 billion.

See the entire PDF report HERE.

I haven’t looked at all the data released but StreetInsider says all BRIC countries have reduced their holdings of US securities.

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