The Most Powerful Buyers in Treasuries Are All Bailing at Once

From Japanese pensions and life insurers to foreign governments and U.S. commercial banks, where once they were lining up to get their hands on U.S. government debt, most have now stepped away.

By Liz Capo McCormick, Garfield Reynolds & Michael MacKenzie | October 10, 2022 at 09:26 AM

Photo: The Marriner S. Eccles Federal Reserve Board Building in Washington, D.C.

Everywhere you turn, the biggest players in the $23.7 trillion U.S. Treasuries market are in retreat.

From Japanese pensions and life insurers to foreign governments and U.S. commercial banks, where once they were lining up to get their hands on U.S. government debt, most have now stepped away. And then of course there’s the Federal Reserve, which a few weeks ago upped the pace that it plans to offload Treasuries from its balance sheet to $60 billion a month.

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