China Increased Its Holdings Of US $8 Billion &Nbsp In July And Increased Its Holdings For Fourth Consecutive Months.

Data released by the US Treasury on 16 may show that China continued in July. Increase Holdings $8 billion of US Treasury bonds, which is China's fourth consecutive month of US holdings. National debt At present, China is still the largest creditor in the United States.

According to the Ministry of finance data, in July, China held $1 trillion and 173 billion 500 million of US Treasuries, an increase of $8 billion compared to $1 trillion and 165 billion 500 million in June. Since its scale of US $1 trillion and 111 billion 200 million in June 2010, China has been holding US Treasury bonds for over 14 months in a stable period of over 1 trillion US dollars.

Because of the US debt crisis and the beginning of last month, the US sovereign debt was marked by the S & P history. Downgrade The outside world was once very concerned about whether China, the largest holder of the US debt, sold the US debt. However, according to the data from the US Treasury, China has increased its total holdings of US $28 billion 600 million in the past four months. In addition to July, China increased its holdings of US $7 billion 600 million in April, increased US $7 billion 300 million in May, and increased US $5 billion 700 million in June.

In other major holding countries, Japan, the second largest creditor in the United States, increased slightly in July. The US Treasury bonds held in that month amounted to US $914 billion 800 million, which is 3 billion 800 million US dollars higher than the June US $911 billion. Britain, the third largest creditor in the United States, increased its holdings of US $4 billion 700 million in July, from US $347 billion 800 million in June to US $352 billion 500 million. In addition, the oil exporting countries also increased their holdings of treasury bonds in that month, while Russia and India reduced their holdings of US Treasury bonds.

Although the us long term sovereign debt rating has been downgraded, market analysts believe that in terms of volume and liquidity, there is still a lack of alternatives to US Treasury bonds. Finance Treasury bonds are still relatively safe investment products in the market.

Biden, vice president of the United States who visited China last month, has made numerous statements during the visit to ensure China's investment in the United States and the security of US dollar debt. In September 8th, he published an article in the New York Times once again to reiterate that the United States will never break its debt obligations, because in fact, the US debt is in the hands of the Americans, and China holds only 8% of the US Treasury bonds. By contrast, Americans hold nearly 70%.

Chinese officials have repeatedly stressed that this is normal for the increase or reduction of US debt. Market investment Operation. At the same time, China also hopes that the US side will take responsible policies and measures to enhance the confidence of the international financial market and respect and safeguard the interests of investors.