NY Fed's Nordstrom: Foreigners bolstering treasury holdings adjusted for market valuations

New York Fed Nordstrom (Head of domestic and international markets) says

  • Foreigners bolstering treasury holdings adjusted for market valuations
  • Lower foreign official treasury holdings due to idiosyncratic reasons.
  • It is clear investors evaluate safety and the liquidity of treasury securities.
  • Foreign repo facility is effective liquidity backstop.

Nordstrom's seems to believe that foreign demand is not a risk

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