Countries obtain US dollars by selling their dollar-denominated assets, including US stocks, bonds, and treasuries; foreign central bank holdings of US treasuries have recently declined to their lowest level since 2012, with tens of billions of dollars disappearing in just four weeks, indicating an ongoing trend of reduced foreign demand for US debt securities.
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Where Do Countries Get US Dollars From? #wallstreet #investingAjouté :
So, they need dollars.
Now, I've got a question. Where do foreign governments and central banks get dollars from when they need them really fast?
The answer is their dollar assets, [music] right?
Their US stocks, US bonds, their US treasuries.
They have to sell them.
And that's already happening.
Foreign central bank holdings of US treasuries at the New York Fed just went down to the lowest level since 2012.
[music] In 4 weeks, tens of billions of dollars are gone.
And that's just the beginning because it'll probably get worse.
Why is it going to get worse?
It's going to get
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