Foreign selling of US Treasuries hit record high in March

NewsMax/5-15-2020

“Foreign investors sold a record amount of U.S. Treasury bonds and notes for the month of March, according to Treasury Department data on Friday, as the coronavirus pandemic caused a dislocation in the market that saw liquidity all but dry up. On a transaction basis, foreigners sold $299.346 billion in Treasuries in March, a record high, compared with foreign buying of $4.885 billion in February, the Treasury report said.”

USAGOLD note:  The good news, if it can be construed as such, is that the selling appears to be across the spectrum of countries and not concentrated from one or two sources. The bad news is that the United States is on a borrowing binge like no other and if foreign buyers go to the sidelines it simply leaves significantly more that the Fed will be forced to print.