Foreign central banks' U.S. debt holdings rise: Fed

NEW YORK Fri Jan 4, 2013 3:01am IST

Stocks

   

NEW YORK (Reuters) - Foreign central banks' overall holdings of U.S. marketable securities at the Federal Reserve rose in the latest week, data from the U.S. central bank showed on Thursday.

The Fed said its holdings of U.S. securities kept for overseas central banks rose $2.2 billion in the week ended January 2, to stand at $3.240 trillion.

The breakdown of custody holdings showed overseas central banks' holdings of Treasury debt rose by $2.1 billion to stand at $2.9 trillion.

Foreign institutions' holdings of securities issued or guaranteed by the biggest U.S. mortgage financing agencies, including Fannie Mae (FNMA.OB) and Freddie Mac (FMCC.OB), rose by $187 million to stand at $311.2 billion.

The Fed said its holdings of so-called "other" securities held in custody and reported at face value fell $66 million to stand at $36 billion. These securities include non-marketable U.S. Treasury securities, supranationals, corporate bonds, asset-backed securities and commercial paper.

Overseas central banks, particularly those in Asia, have been huge buyers of U.S. debt in recent years and own more than a quarter of marketable Treasuries. China and Japan are the biggest foreign holders of Treasuries.

The full Fed report can be found on: here

**Please note that in the week ended November 15, 2012 the Fed changed how it calculates the data covering securities held in custody for foreign official and international accounts.

Custody holdings of U.S. Treasuries held by the central bank does not include those securities pledged by the Fed as "collateral in reverse repurchase agreements conducted with foreign official and international accounts," the Fed advised.

It added that the data now incorporates "inflation compensation on Treasury Inflation-Protected Securities (TIPS), which captures the inflation adjustment to original face value of TIPS over time."

The calculation for agency debt holdings was revised to reflect current face value rather than original face value as previously reported, the Fed said.

(Reporting By Daniel Bases; Editing by Chizu Nomiyama)

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Public Health

REUTERS SHOWCASE

Airtel Profit Jumps

Airtel Profit Jumps

Bharti Q2 net profit more than doubles   Full Article 

Maruti Earnings

Maruti Earnings

Maruti Suzuki net profit up 29 percent, beats estimates.  Full Article 

ICICI Results

ICICI Results

ICICI Bank Q2 profit up 15 percent, beats estimates.  Full Article 

Cost Cutting

Cost Cutting

PM Narendra Modi boots officials out of the first class cabin  Full Article 

Market at Record

Market at Record

Sensex, Nifty hit record highs; reforms outpace hawkish Fed.  Full Article 

Moody's on India

Moody's on India

Moody's welcomes India's policy steps, but wants to see more.  Full Article 

End Of QE

End Of QE

U.S. Fed ends bond buying, exhibits confidence in U.S. recovery.  Full Article 

Samsung Results

Samsung Results

Smartphone woes drag Samsung Elec Q3 profit to more than 3-year low.  Full Article 

Refining Margins

Refining Margins

BPCL aims to double refining margins with refinery expansion.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage