Foreign investors purchased a net $206.0 billion of long-term U.S. securities in April, according to newly released Treasury International Capital (TIC) data from the U.S. Department of the Treasury. Private foreign investors accounted for $164.4 billion of those purchases, while foreign official institutions added $41.6 billion. After accounting for U.S. purchases of foreign securities and other adjustments, overall net foreign purchases of long-term securities were estimated at $103.1 billion during the month.
The Treasury also reported total net TIC inflows of $26.1 billion, reflecting combined activity across long-term securities, short-term securities and banking flows. The data suggests continued foreign demand for U.S. financial assets despite ongoing discussion surrounding reserve diversification and alternative payment systems. Foreign residents reduced holdings of U.S. Treasury bills by $13.6 billion during the month, though long-term purchases remained strong.
The figures underscore the persistent role of U.S. securities in global portfolios, even as central banks and sovereign funds explore diversification. The strong demand for long-term instruments, particularly from private investors, indicates confidence in U.S. economic fundamentals and the dollar's status as a reserve currency. Analysts will watch upcoming TIC data for signs of shifting patterns amid geopolitical tensions and evolving monetary policies.
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