Foreign holdings of US Treasuries fell slightly in October, down $5.8B to $9.2T. Even after the drop, this is still the 2nd highest level ever.

China reduced its holdings by $11.8B to $688.7B, the lowest level since 2008.

At the same time, holdings linked to Belgium rose $1.6B to a record $468.4B, which often reflects custodial accounts.

Japan, the largest foreign holder, added $10.7B, taking its total to $1.2T, the highest since mid 2022.

The UK also increased holdings by $13.2B to $877.9B, the 3rd highest on record.

Canada was the outlier, cutting $56.7B, dropping to $419.1B, the lowest since July.

Big picture

Despite some shifts, global demand for US Treasuries is still strong.