WASHINGTON (AP) — Foreign buyers of U.S. Treasury securities increased their holdings in April to another record high even though China cut back on its holdings for a third straight month.
The Treasury Department says total foreign holdings rose 0.2 percent to a record $5.96 trillion, up from $5.95 trillion in March. It marked the ninth consecutive monthly increase.
China, the largest foreign buyer of U.S. Treasury debt, reduced its holdings for a third month, cutting them by 0.7 percent to $1.26 trillion. Japan, the second largest buyer, boosted its holdings 0.8 percent to $1.21 trillion.
Foreign demand for U.S. Treasury debt is expected to remain strong this year, helped by more borrowing certainty given the congressional agreement to suspend the debt limit until March 2015.