Foreign investors have a recipient’s holiday about US assets, as it is no longer able to make a great shortcoming, analytical warning

• Tepid request to a 20-year bond auction Treasury, the federal government, the federal government, the concerns about the continuation of mass failures in the congress, and the dollars are packed with those who struggle to add thousands of dollars in red ink. Deutsche Bank’s George is the signs of “on the buyer’s holiday” among foreign investors for Saravelos.

Foreign investors said According to the FX Research President, there are many large financial and current account deficits to be very much to endure the mass finance and current account deficits German bank.

Commented on investors, commented on a recent note Tepid request to a 20-year bond auction Selling a self in the treasury last week, he sent higher productivity. But this was not the worst thing.

“The most anxious part of the market reaction is the weakening of the dollar,” Saravelos wrote. “This is a clear significant signal of US assets and US assets and US warning for a while. It is a desire to finance the US twin deficiencies in the current price level of the problem.”

The bond market will also expand tax discounts from the first cycle of the US House of Representatives, the first period of President Donald Trump, and there are no tips and work.

Prayers also write some spending cuts, the reduction of tax revenues, as well as increasing increasing expenses in areas as well as in defense. The net effect would Trillions More dollars added to budget deficits over the next ten years.

The Senate’s house is expected to be looking for changes to the bill, but the tax reduction is the most priority for Trump and Congress Republicans.

Saravelos said that the US assets are only two ways to restore attractiveness to foreign investors.

“Either the United States must regularly reconsider the current reconciliation bill sitting in Congress;

There is another heading that US assets Bond Market Drama in JapanAlso facing a financial crisis and increased productivity.

The largest owner owner of the US debt will start a decrease in the economy, because the economy has begun to shrink, Saying that Japan is “worse than Greece”. Monday, Japan did not reach the high level of 40 years of bond 20 years old.

However, higher productivity for Japanese government bonds for Saravelos is not reflected in the government’s financial concern in Tokyo. If it was the case, he would sell new. Instead, he still fought the dollar to participate in the market for the US debt.

“We would claim that the sale of JGB sales is a bigger issue for the US Treasury market: Saravelos explained in a separate note this week by making it an attractive alternative to local investors.

Which Japanese investors are important for the bond market as the latest US official information Japan’s US debts have reached $ 1.13 trillion in March – about one-quarter of GDP.

Meanwhile, China, in the previous month, was shot in the previous month with the collection of treasury bonds per $ 784 billion. This reduced the list as the third largest owner of the largest US treasures for the 2nd England.

“In the coming months, the market is increasingly managed by the market by foreign assets and this is the United States to press down bond markets and in the United States,” said Saravelos.

This story was first displayed Fortune.com

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