Foreigners were heavy buyers of U.S. Treasuries in November but were once again heavy sellers of U.S. equities. Net foreign inflow of long-term securities totaled $31.4 billion as net foreign buying of $41.2 billion was offset by $9.6 billion of net domestic buying of foreign securities.
Foreigners bought a net $38.4 billion of Treasuries in November, vs October's net outflow of $55.1 billion and vs September's more typical inflow of $17.4 billion. Foreigners were buyers of government agencies bonds during the month, at a net $13.9 billion, and were buyers of corporate bonds at a net $5.1 billion. For equities, however, foreigners extended a long streak of selling, at a net $16.3 billion in the month.
Turning to foreign holdings of U.S. Treasuries, China extended its lead over Japan, to $1.27 trillion vs October's $1.26 trillion while Japan dipped slightly to $1.15 trillion. Holdings by Caribbean Banking Centers, a favorite for hedge funds, rose more than $15 billion to $337.9 billion.
Hanover Advisors Inc. issued this content on 2016-01-20 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 2016-01-20 17:18:03 UTC
Original Document: http://www.hanoveradvisorsinc.com/treasury-international-capital
