Foreign holdings of U.S. Treasuries soared to a record high in March, data from the Treasury Department showed on Friday, rising for a third straight month, as demand for U.S. government debt remained robust a few months after President Donald Trump took office.
Holdings of U.S. Treasuries surged to $9.05 trillion in March, an all-time peak and up more than $233 billion from $8.81 trillion in February. Compared with a year earlier, Treasuries owned by foreigners rose nearly 12%.
Some analysts said that trend could change in April as the Trump administration introduced a massive trade shock on April 2nd that saw effective tariff rates surge, particularly on Chinese goods.
That fueled a U.S. Treasuries sell-off that, at one point, pushed benchmark 10-year yields US10Y more than 70 basis points (bps) higher to nearly 4.6% over the April 3-11 period. The selloff may have included selling from foreign investors, analysts said.
Trump has…
