FinancialAnaly

psriniva Wrote:
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> We are talking about Federal Reserve selling
> foreign bonds from its repository. We are not
> referring to selling foreign bonds by ordinary
> citizen or an US Bank.
>
> Federal Reserve selling foreign bonds held in its
> repository is counted in Official Reserves. This
> action brings in Dollars and out goes the foreign
> asset.
> This will be a counter balance for the current
> account deficit.


The balance of the official reserve was tiny in comparison
to massive dificit in current account. Investment account balance OTOH was close to dificit amount.