Foreign holdings of US Treasury debt drop in April

|
Photo -   In this Monday, April 22, 2013, photo, a man is reflected on the electronic board of a securities firm in Tokyo. Foreign demand for U.S. Treasury securities fell in April for the first time in more than a year, as China and Japan both trimmed their holdings. (AP Photo/Koji Sasahara)
In this Monday, April 22, 2013, photo, a man is reflected on the electronic board of a securities firm in Tokyo. Foreign demand for U.S. Treasury securities fell in April for the first time in more than a year, as China and Japan both trimmed their holdings. (AP Photo/Koji Sasahara)
News,Business

WASHINGTON (AP) — Foreign demand for U.S. Treasury securities fell in April for the first time in more than a year, as China and Japan both trimmed their holdings.

The Treasury Department said Friday that total foreign holdings dropped 1.2 percent in April from March to $5.67 trillion.

China, the largest foreign buyer of Treasury debt, reduced its holdings 0.4 percent to $1.26 trillion. Japan, the second-largest buyer, cut its holdings 1.2 percent to $1.1 trillion.

Even with the reductions, Treasury debt held by foreigners is up 8.6 percent from a year ago. The gain shows overseas investors are still buying U.S. debt, despite sharp debates in Congress over reducing federal deficits.

View article comments Leave a comment