As Of Today, The Biggest Holder Of US Debt Is The United States Of America

[Ares]

Well, folks, it's official. With today's $8.3 billion POMO, (http://www.newyorkfed.org/markets/pomo/display/index.cfm) the Fed's official holdings of US Treasury securities now amount to $891.3 billion, which is higher than the second largest holder of US debt: China, which as of September 30 held $884 billion, and Japan, with $864 billion. The purists will claim that the TIC data is as of September 30, and that as the weekly custodial account shows UST buying continues the data is likely not correct. They will be wrong: with the Fed now buying about $30 billion per week, or about $120 billion per month, for the foreseeable future and beyond, it would mean that China would need to buy a comparable amount to be in the standing. It won't. In other words, the Ponzi operation is now complete, and the Fed's monetization of US debt has made it not only the largest holder of such debt, but made external funding checks and balances in the guise of indirect auction bidding, irrelevant. For what tends to happen next in comparable case studies, please read the Dying of Money. And congratulations to China for finally not being the one having the most to lose from a DV01 basis on that day when the inevitable surge in interest rates finally happens. That honor is now strictly reserved for America's taxpayers.

<img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/gono/UST%20Holdings%2011.23_0.jpg"/>

http://www.zerohedge.com/node/253891

[k-os]

Alright, because there seems to be no logic behind what the US government is allowed to do with money . . . I need a little help.

Who is the biggest holder of my debt? Me, or my mortgage company? (My only debt.)

Although it would be great to leave someone else holding the bag (of my debt), it is still my debt. Shouldn't the US be the biggest holder of US debt? I know that we shouldn't have racked up all of that debt, but we did, so, who else should hold it?

[Ares]

Alright, because there seems to be no logic behind what the US government is allowed to do with money . . . I need a little help.

Who is the biggest holder of my debt? Me, or my mortgage company? (My only debt.)

Although it would be great to leave someone else holding the bag (of my debt), it is still my debt. Shouldn't the US be the biggest holder of US debt? I know that we shouldn't have racked up all of that debt, but we did, so, who else should hold it?


The biggest holder of your debt is the bank that services your mortgage, not you. What the FED is doing is buying government treasuries to keep rates artificially low. Now that there is a buyer other than Japan and China (FED) China can do what it's been wanting to do for a while now, and try to unload all of the amassed debt it has accumulated and try to get out so it's not the last one holding the bag.

In the end it will be the Taxpayer getting screwed. No currency, No jobs, and no food.

Sorry to answer your question, it should be the investor (debt holder) that holds it until the debt has been repaid. At least thats how the system is supposed to work. But not when you involve central banks who pump in money whenever they damn well feel like it because the threat of the power is being threatened by their own greed.

[k-os]

Alright, because there seems to be no logic behind what the US government is allowed to do with money . . . I need a little help.

Who is the biggest holder of my debt? Me, or my mortgage company? (My only debt.)

Although it would be great to leave someone else holding the bag (of my debt), it is still my debt. Shouldn't the US be the biggest holder of US debt? I know that we shouldn't have racked up all of that debt, but we did, so, who else should hold it?


The biggest holder of your debt is the bank that services your mortgage, not you. What the FED is doing is buying government treasuries to keep rates artificially low. Now that there is a buyer other than Japan and China (FED) China can do what it's been wanting to do for a while now, and try to unload all of the amassed debt it has accumulated and try to get out so it's not the last one holding the bag.

In the end it will be the Taxpayer getting screwed. No currency, No jobs, and no food.


Thank you for clarifying.

[General of Darkness]

Since there is no M3 report any longer, I wonder if with a "computer glitch" they could just vaporize the debt?

[Ares]

Thank you for clarifying.

No problem :) If you want to get "hypertigerish" think of it as a panic by the top as they are starving for revenue. The bottom isn't able to service the debt so the top is playing kick the can with FED buying up the governments debt.

Doesn't fix the problem, makes it worse, and all in all will more than likely collapse the system.

[Horn]

There's only one more leg down from here, broke.

[platinumdude]

Finally we are number one at something and we beat China to boot.

[General of Darkness]

Finally we are number one at something and we beat China to boot.


Winter Olympics? :dunno

[Filthy Keynes]

Finally we are number one at something and we beat China to boot.


Winter Olympics? :dunno


LOL!

I heard they are discontinuing the Olympics as of 2016. Not a joke.

[Libertytree]

This fact is hard core solid evidence that the Federal Resv is a completely different entity than the US .gov, because it is simply impossible to hold your own debt. Why America can't see this is truly mindboggling to me. I am interested to see if there is any or no news coverage of this little fact.

[FunnyMoney]

This fact is hard core solid evidence that the Federal Resv is a completely different entity than the US .gov, because it is simply impossible to hold your own debt. Why America can't see this is truly mindboggling to me. I am interested to see if there is any or no news coverage of this little fact.



The laws of physics were already broken once, certainly the laws of economics can be ignored too.

:o

[Silver Shield]

If you want to get to the bottom of it all, bonds, Credit card debt, mortages, student loans, trade debt, unfunded liabilities all rest on the only debt that matters...

The dollar.

Our very money we play these debt games with is debt itself.

The game is rigged from day one.

More debt needs to be created every year in excess of the previous years debt AND interest.

So the real question is not which country "owns" our debt but which family that owns our privately owned central banks owns our debt.

This article is just another example how the Elite have hidden the truth and implemented a 'Divide and Conquer' to keep us fighting amongst each other instead of getting to the root of all of our problems.


I believe the end game is blaming "those Communist slant eyed bastards" for the collapse the dollar and escalate into another profitable world war for the banksters.

Our children will be sent to slaughter never knowing the true cause of our problems lies with the Elite that create, control, and profit off of our paradigm.



Moving on...

[mick silver]

collapse

[Neuro]

Probably most of the US debt held from the Cayman islands is federal reserve held to. Add to this hundreds of billions held by other bankrupt central banks through the gigantic circle jerk monetization currency swaps of 2009... Probably a couple of trillions more in the Federal Reserve controlled fund of foreign central bank held US treasuries...Then the swaps with the banks that own the Fed, who got Treasury bonds for worthless mortgage paper... Wouldn't be surprised if the reality is that half US debt is held by Federal Reserve, directly or indirectly...

[Silver Rocket Bitches!]

This also disregards the trillions that the FED has sent to other central banks to buy up American treasuries in exchange for world political favors. Who knows what the real number is.