Japan Dumps Foreign Bonds
Japanese investors were big sellers of overseas fixed income assets last week.At US$23 bn, it was the fastest pace of net selling on record in a weekly dataseries that stretches back to 2001.This is likely yet another piece of evidence that market concern is rising overthe US debt ceiling standoff. About 80% of Japanese overseas portfolio assetsare in fixed income securities, and most of these are assets issued in the US.
Read the full report: UBS