Between the Lines Analysis of TIC Data Reveals A Market In Turmoil

The frequency of revisions within the TIC data series suggests a paper market in turmoil. One would never know that from the headline interpretations. The revisions are becoming so frequent that historical comparisons are becoming increasingly difficult. Yet, anyone believing that world's paper shufflers will allow data releases such as the TIC to communicate failing demand for key paper markets is likely delusional. The interpretation will be "all-is-well" right up to the point where it is clearly not and spin cannot communicate otherwise.

Major Holders of U.S. Long Term Treasuries:


Headline: China's holdings of US debt jump 30 percent

China, the biggest buyer of U.S. Treasury securities, owns a lot more than previously estimated.

In an annual revision of the figures, the Treasury Department said Monday that China's holdings totaled $1.16 trillion at the end of December. That was an increase of 30 percent from an estimate the government made two weeks ago.

The government made the change to its monthly report based on more accurate information it obtains in an annual survey. That survey more does a better job of determining the actual owners of Treasury securities.

Source: finance.yahoo.com