China sold U.S. Treasurys for the second month in a row in December, further reducing its holdings from its largest position in nearly a year in October, but remaining the largest foreign holder, the Treasury Department said Tuesday.
China cut its net holdings by $4 billion to $891.6 billion, following net selling of $11.2 billion in November.
Overall, net foreign purchases of long-term U.S. securities were $76.8 billion. Of this, net purchases by private foreign investors were $66.3 billion, and net purchases by foreign official institutions were $10.5 billion.
I wonder who China sold to, what their rational was for buying and where did they get the funds to do so?
ReplyDeleteAre you kidding? They probably have Ben on speed dial.
ReplyDelete