Foreign-owned U.S. Treasuries held by Fed fall below 2020 crash levels, liquidity alarm flashing

This is a shocking chart. It’s foreign owned U.S. Treasuries held by the Federal Reserve. Every drop has been a liquidity crisis. When foreign governments or banks need Dollars the Treasuries exit. It’s now lower than the depths of the 2020 crash.

See also This type of indicator has sometimes moved ahead of stock market moves by around 3 to 6 months. Now it is flashing a warning.

See also The Fed Says Inflation Is The Problem While Quietly Adding Liquidity Back Into The System

Remember: the Fed has only one “tool” in its “tool chest”: Money Printer Go BRRRRRR.

h/t Boo_Randy_II