WASHINGTON – Foreign buyers of U.S. Treasury securities boosted their holdings in August to a record high. China, the largest foreign owner of Treasury debt, increased its holdings after two months of reductions.
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The Treasury Department says in its monthly report that foreign holdings increased 1.1 percent to an all-time high of $6.07 trillion, after having fallen by 0.3 percent in July.
China, the top foreign buyer of U.S. Treasury debt, increased its holdings by 0.4 percent to $1.27 trillion. Japan, the No. 2 buyer, boosted its holdings by 0.9 percent to $1.23 trillion.
Foreign demand for Treasury debt is expected to remain strong this year, driven in part by geopolitical tensions that make U.S. Treasury bonds attractive as a safe haven.