China appears to be making good on a long-standing threat to dump U.S. Treasuries.China has now cut its holdings of Treasuries by $45-billion over the past five months, or “a long enough period to hint strongly at a trend,” Alan Ruskin, chief international strategist at RBS Securities Inc., said in a research note.
And while China was pulling out of U.S. Treasuries, many other Asian countries were adding to their holdings. Japan boosted its Treasury investments to nearly $769-billion, up $11.6-billion. Hong Kong, a special administrative region of China, boosted its holdings by $6.7-billion to nearly $153-billion. Canada, Britain, Singapore, Thailand, and Australia also added to their holdings. Full Story
