Foreign Holdings Of US Debt Or Russia'S Selling Before Sanctions

By the end of 2013, Russia had us $139 billion in US Treasury bonds and was the eleventh largest holder of P.

The market suspects that the Russian government has sold large amounts of US Treasury bonds in support of the rubles and the pfer of US assets to avoid sanctions.

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P, Russia's central bank declined to comment, saying only that "the time for the central bank to publish foreign currency assets is not earlier than the six months after the end of the review period. This is based on the sensitivity of the global financial market price to the movements of large market participants such as the central bank of Russia".

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Russia's central bank has spent about $16 billion to support its currency since March P.

On Friday, the ruble fell to a historic low of 36.708 rubles against the dollar.

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< p > the foreign central bank has reduced the scale of US debt to a record high, or Russia has been selling "/p" before being punished.

< p > some analysts believe that Russia may turn US bonds out of the US rather than sell it on the open market.

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What P puzzles is that if Russia's US assets are frozen and other sanctions against us, it will slash the holdings of US debt. Why did it not lead to a fall in the bond market? < /p >

On the contrary, the yield of US Treasury bonds declined this week, partly because Russia launched a new military exercise on the border with Ukraine, triggering a sense of unease about the outbreak of war in Ukraine, and led to a safe haven buying of US debt.

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< p > us 10 year period < a href= "//www.sjfzxm.com/news/index_cj.asp" > bond yields less than /a > last week the weekly line slipped 14 basis points, according to Reuters data, this is the largest weekly decline since last September.

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< p > although the market thinks that Russia has the largest scale of US debt, analysts have pointed out that China and Japan are also likely sellers.

China and Japan are the two largest creditor countries in the United States.

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< p > analysts pointed out that China may reduce its US $1 trillion and 270 billion debt position to help boost the crumbling financial industry.

China broke out its first debt default last week.

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"China may raise funds to help stabilize the domestic credit market," said Christopher Low, chief economist of P FTN Financial in New York.

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China's corporate bonds have seen explosive growth since the P < < a href= //www.sjfzxm.com/news/index_cj.asp > > financial crisis > /a >.

Thomson Reuters analyzed the results of 945 large and medium-sized non-financial listed companies, and overall debt surged from 260% to 4 trillion and 740 billion yuan (US $777 billion 300 million) between December 2008 and September 2013.

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< p > but some analysts say that the answer to the substantial reduction of a href= "//www.sjfzxm.com/news/index_cj.asp" > US bond < /a > may not be in China.

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"There is no indication that China is going to bail out or bondholders take action," said Komal Sri-Kumar, President of P Sri-Kumar Global Strategies.

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The closing of the two session of the twelve National People's Congress on Thursday (March 13th), Chinese Premier Li Keqiang said on the same day, "I do not want to see some financial products default, but it is difficult to avoid individual cases". P

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"P," he added, "we must strengthen monitoring and timely disposal to ensure that there is no regional and systemic financial risks."

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< p > as for Japan, the country holds about US $1 trillion and 180 billion of US debt.

Data show that Japan has been selling overseas bonds and repatriated funds before the end of the fiscal year March.

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< p > according to the latest data from the Ministry of finance of Japan, Japan's overseas bond position decreased by 618 billion 500 million yen (US $6 billion 120 million) in from March 2nd to 8th, and it decreased by 759 billion yen in the previous week.

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