Comment by gtani

Well, there's the deficit but also China's central bank has steadily reduced Treas holdings while BoJ ramps up, and other sovereigns incented to reduce if they think dollar continue to weaken or their country was running trade surplus w/US. (trying to figure out vol profile on $DXY in tradingview...)

But we are around or just over Bessent's pain points for /ZB and /zn so we'll see

Treas by central banks https://home.treasury.gov/data/treasury-international-capita...