🇺🇸 Foreign holdings of U.S. Treasuries rose $83 billion in August to $9.33 trillion, the 6th-highest on record...
Canada added $38 billion, Belgium $20 billion to a record, and the UK $11 billion to cross $1 trillion for the first time.
Japan cut $36 billion after record yen intervention, and China trimmed $27 billion to its lowest level since 2008.
Even with Japan and China selling, other buyers stepped in, and the total still rose.
That means the U.S. still has plenty of willing lenders, which is helpful because the government runs large deficits and constantly needs to roll over and issue new debt.
It does NOT mean the U.S. is in trouble or that foreigners are dumping everything...
It shows a reshuffling: official sellers (especially Japan for currency reasons, China for longer-term reasons) are being replaced by private investors and flows through financial hubs.
In short, demand for U.S. debt stayed solid in August. The identity of the biggest buyers just shifted.
Source: U.S. Treasury TIC data / Writer: Jamie
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