Central Banks Dump $57 Billion Of US Agency Debt Set

Jim Sinclair’s JSMineSet.com

By: Dan Norcini

Dear Friends,

Although I have not posted any charts of the Custodial Holdings at the New York Federal Reserve in some time, I have been monitoring it for any signs that foreign Central Banks are balking at buying US government or government-sponsored debt. Such a development would have a big impact on US interest rates not to mention the home mortgage industry.

This week a big development took place which bears further scrutiny. It occurred in the Agency Debt category where Central Banks dumped $57 billion worth of US agency debt. That is the largest one week drop that my records going back six years show. They are now at the lowest level in three years…

Central Banks Dump $57 Billion Of US Agency Debt : Welcome To Jim Sinclair’s MineSet.