⚠️CHART OF THE WEEK: Is China dumping US Treasuries?

China saw its Treasury holdings decline to the lowest in 16 years.

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China, the third-largest Treasury holder, saw its holdings decline $900 million in May, to $756.3 billion, the lowest in 16 years.

However, Belgium, whose holdings include Chinese custodial accounts, saw its stockpile go up by $4.5 billion, to a record $415.5 billion.

Overall, foreign investor holdings of US Treasuries rose $32.4 billion in May, to $9.05 trillion, the second-highest on record. This brings the share of US Treasuries held by foreigners up to 31.7%, the highest since June 2022.

Canada led all foreign buyers, adding a net $65.8 billion and pushing its total holdings to a record $430 billion.

Japan, the largest foreign holder of Treasuries, increased its stake by around $500 million to $1.14 trillion, the highest level since March 2024.

The United Kingdom, the second-largest holder, purchased $1.7 billion, raising its total to a record $809.4 billion.

Following April’s $36 billion decline, global demand for US debt appears to have bounced back strongly.

The US Dollar remains the world’s most liquid and trusted currency

The US Dollar dominates global finance

globalmarketsinvestor.beehiiv.com/p/the-us-dollar-remains-the-world-s-most-liquid-and-trusted-currency

⚠️CHART OF THE WEEK: China is diversifying its currency reserves out of the US Dollar

The trend accelerated in 2022

globalmarketsinvestor.beehiiv.com/p/chart-of-the-week-china-is-diversifying-its-currency-reserves-out-of-the-us-dollar

⚠️The demand for gold as a reserve asset is remarkably strong

At the same time, the demand for the US Dollar is weak

globalmarketsinvestor.beehiiv.com/p/the-demand-for-gold-as-a-reserve-asset-is-remarkably-strong

US stocks continue to underperform the rest of the world

Time for an asset class performance review as of the first half of 2025

globalmarketsinvestor.beehiiv.com/p/us-stocks-continue-to-underperform-the-rest-of-the-world

⚠️Portfolio performance review as of June 2025

Assessment of my long-term investment portfolio as of June 2025

globalmarketsinvestor.beehiiv.com/p/portfolio-performance-review-as-of-june-2025

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