Comments on: The May TIC data (with special attention to Agencies and London) http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/ Sat, 21 Nov 2009 16:40:10 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Brad Setser: Follow the Money » Blog Archive » Beware: Correlation doesn’t always mean causation … London doesn’t just handle petrodollars http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110747 Brad Setser: Follow the Money » Blog Archive » Beware: Correlation doesn’t always mean causation … London doesn’t just handle petrodollars Mon, 28 Jul 2008 17:13:20 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110747 [...] The pattern of revisions to foreign holdings of Treasury and Agency bonds further suggests that China accounts for more of the Treasury and Agency bonds purchased through London than the Gulf. See the charts at the end of my last post on the TIC data. [...] [...] The pattern of revisions to foreign holdings of Treasury and Agency bonds further suggests that China accounts for more of the Treasury and Agency bonds purchased through London than the Gulf. See the charts at the end of my last post on the TIC data. [...]

]]> By: FX Weekly 07.18-07.25.08 - Has The Dollar Finally Stabilized? | BKTraderFX Boris Schlossberg Kathy Lien http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110361 FX Weekly 07.18-07.25.08 - Has The Dollar Finally Stabilized? | BKTraderFX Boris Schlossberg Kathy Lien Sat, 19 Jul 2008 07:15:19 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110361 [...] China’s Economic Growth Cools to Slowest Since 2005 Dour Headlines From The Wall Street Journal Does Inflation Mean More Unemployment? How To Avoid The Mother of All Bailouts Deconstructing May Investment Flows [...] [...] China’s Economic Growth Cools to Slowest Since 2005 Dour Headlines From The Wall Street Journal Does Inflation Mean More Unemployment? How To Avoid The Mother of All Bailouts Deconstructing May Investment Flows [...]

]]> By: The US Government Bails Out Freddie and Fannie - Page 3 - US Message Board http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110302 The US Government Bails Out Freddie and Fannie - Page 3 - US Message Board Thu, 17 Jul 2008 16:59:33 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110302 [...] about $500 billion. He has Russia at around $150 billion. But again, this is just the agency debt. Brad Setser: Follow the Money Blog Archive The May TIC data (with special attention to Agencies and ... [...] [...] about $500 billion. He has Russia at around $150 billion. But again, this is just the agency debt. Brad Setser: Follow the Money Blog Archive The May TIC data (with special attention to Agencies and … [...]

]]> By: Rien Huizer http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110298 Rien Huizer Thu, 17 Jul 2008 14:03:50 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110298 Just to add, for everyone who does not read the Washington Post http://www.washingtonpost.com/wp-dyn/content/article/2008/07/16/AR2008071602565.html Just to add, for everyone who does not read the Washington Post

http://www.washingtonpost.com/wp-dyn/content/article/2008/07/16/AR2008071602565.html

]]> By: Rien Huizer http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110297 Rien Huizer Thu, 17 Jul 2008 13:56:38 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110297 Brad, again a mistake. I was of course referring to private sector holdings (which would unfortunately include some parts of Zaito) of non treasury US MBS. Could be non agency as well, but that would be pretty unsophisticated. That stuff would be sold by the securities companies (packaged) to private investors. Brad, again a mistake. I was of course referring to private sector holdings (which would unfortunately include some parts of Zaito) of non treasury US MBS. Could be non agency as well, but that would be pretty unsophisticated. That stuff would be sold by the securities companies (packaged) to private investors.

]]> By: Rien Huizer http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110296 Rien Huizer Thu, 17 Jul 2008 13:52:46 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110296 Brad, That would be one possibility. I do not think we are talking about trillions of USD, but say usd 250 bn in the private sector would be more in the direction. And could do a healthy bit of harm. It is either trust accounts in the US or a suitabl offshore center. But everything is anecdotal of course. Brad,

That would be one possibility. I do not think we are talking about trillions of USD, but say usd 250 bn in the private sector would be more in the direction. And could do a healthy bit of harm. It is either trust accounts in the US or a suitabl offshore center. But everything is anecdotal of course.

]]> By: Rien Huizer http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110295 Rien Huizer Thu, 17 Jul 2008 13:49:02 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110295 Judy, that was comment to an earlier post. I am not quite sure what you mean. All I tried to do was to highlight the difficulty of designing an efficient (???) scheme for deposit insurance. And without deposit insurance, and also the intention to not bail out uninsured creditors of a "financial institution (whatever that may be)" there is a bit of a problem if you are facing systemic breakdown, with the people who were playing chicken with your courage of not bailing out etc at taxpayers expense standing around with big smiles..If you are a politician, you swallow your pride. If you are a hero, the other people will lynch you. As the good people in the Istana will agree, good government is difficult, unless you prepare yourself for the job and do not spoil your people too much. Judy, that was comment to an earlier post. I am not quite sure what you mean. All I tried to do was to highlight the difficulty of designing an efficient (???) scheme for deposit insurance. And without deposit insurance, and also the intention to not bail out uninsured creditors of a “financial institution (whatever that may be)” there is a bit of a problem if you are facing systemic breakdown, with the people who were playing chicken with your courage of not bailing out etc at taxpayers expense standing around with big smiles..If you are a politician, you swallow your pride. If you are a hero, the other people will lynch you. As the good people in the Istana will agree, good government is difficult, unless you prepare yourself for the job and do not spoil your people too much.

]]> By: bsetser http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110293 bsetser Thu, 17 Jul 2008 12:43:23 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110293 Judy -- not really. the FT article suggests that a fund still has 60% of its exposure in $, which is a lot higher than my working assumption. The claim that a fund was 80% $ until recently also is a surprise. I previously had thought must Gulf SWFs (as opposed to CBanks) were 40-50% dollars. Rien -- or perhaps the Carribbean/ another offshore financial center. After 2004, recorded Japanese purchases of US assets have basically dried up, which is something of a mystery. Judy — not really. the FT article suggests that a fund still has 60% of its exposure in $, which is a lot higher than my working assumption. The claim that a fund was 80% $ until recently also is a surprise. I previously had thought must Gulf SWFs (as opposed to CBanks) were 40-50% dollars.

Rien — or perhaps the Carribbean/ another offshore financial center. After 2004, recorded Japanese purchases of US assets have basically dried up, which is something of a mystery.

]]> By: Judy Yeo http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110292 Judy Yeo Thu, 17 Jul 2008 11:37:07 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110292 Brad Not too sure if it answers some of your doubts but the FT has an article on the reduction in dollar denominated investments by the SWFs. Could that explain some of the data mysteries? Rien So, the solution to being a poor individual is to start dodgy businesses , get as many financial institutions involved as possible, preferably sell out to one of them, then sit back and watch the drama called swamp things. Give the insurers a break.They were heralded as one of the few bright spots earlier in the year when the mortality bond business boomed whilst all else froze.Perhaps you might need them to "bail you out"" should you fail to come up with the inheritance for your kids, hehheh, never too early to start planning! Brad

Not too sure if it answers some of your doubts but the FT has an article on the reduction in dollar denominated investments by the SWFs. Could that explain some of the data mysteries?

Rien

So, the solution to being a poor individual is to start dodgy businesses , get as many financial institutions involved as possible, preferably sell out to one of them, then sit back and watch the drama called swamp things.

Give the insurers a break.They were heralded as one of the few bright spots earlier in the year when the mortality bond business boomed whilst all else froze.Perhaps you might need them to “bail you out”" should you fail to come up with the inheritance for your kids, hehheh, never too early to start planning!

]]> By: Rien Huizer http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110287 Rien Huizer Thu, 17 Jul 2008 04:57:48 +0000 http://blogs.cfr.org/setser/2008/07/16/the-may-tic-data-with-special-attention-to-agencies-and-london/#comment-110287 Re the Japanese portfolios: onshore to mean in the US Re the Japanese portfolios: onshore to mean in the US

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