





“There are no grown ups in the room.” – Chris Whipple, March 17

The Treasury International Capital (TIC) flows for January are out today. As we suspected, foreign central banks have been net sellers over the past few months.
Looking at both private and official flows in China and Japan, the two most significant holders of Treasuries — China sold $16.7 billion in January and Japan was a small net buyer of $4.3 billion.
As the U.S. budget deficit increases in 2018 and the Treasury funding needs ramp up , it is essential that foreign central banks begin to show up again. It appears they did in the latest auctions.



An example of Mother Nature and her delicate balance, and the ‘bots that bail us out…
For the last eight months, farms near Kisarazu City in Japan have been home to a horrifying robot wolf. But don’t worry, it wasn’t created to terrorize local residents (although, from the looks of the thing, it probably did). Its official name is “Super Monster Wolf,” and engineers designed it to stop animals from eating farmers’ crops.
In truth, the story of the robowolf is more than a little. As Motherboard reports, wolves went extinct in Japan in the early 1800s. The cause? A state-sponsored eradication campaign. Now, parts of Japan are overrun with deer and wild boar. They love to feast on farmers’ rice and chestnut crops. Obviously, farmers do not love this. Fast forward 200 years, and humans create a robotic wolf to replace the species they killed off. – WEF

Looks like a giant downhill slalom.

General elections will be held in Mexico on 1 July 2018. Voters will elect a new president by plurality in a single round of voting to serve a six-year term.
What do Mexicans make of the frontrunner hard-left candidate in the July presidential election, Andrés Manuel López Obrador or Amlo? The FT talks to people in Mexico City and Acapulco.
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The knives are out in Roma on the Potomac, and Caesar holds them all this time.
Following the abrupt firing of Secretary of State Rex Tillerson, officials were reportedly vague in providing details on the fate of senior White House officials that have drawn ire from President Donald Trump, including White House chief of staff John Kelly, national security adviser H.R. McMaster, and Attorney General Jeff Sessions. – Business Insider
Et tu, Donald?

This would definitely destabilize the “American Street.”

Hat Tip: @MitchellToy