Foreign Purchase Of US Assets Wither

The U.S. Department of the Treasury released Treasury International Capital (TIC) data for May 2010.

From the data:

Net foreign purchases of long-term securities were $35.4 billion.

* Net foreign purchases of long-term U.S. securities were $33.0 billion. Of this, net purchases by private foreign investors were $23.8 billion, and net purchases by foreign official institutions were $9.2 billion.
* U.S. residents sold a net $2.4 billion of long-term foreign securities.

Net foreign acquisition of long-term securities, taking into account adjustments, was $15.0 billion.

Foreign holdings of dollar-denominated short-term U.S. securities, including Treasury bills, and other custody liabilities decreased $17.1 billion. Foreign holdings of Treasury bills decreased $9.1 billion.

Banks’ own net dollar-denominated liabilities to foreign residents increased $19.6 billion.

Monthly net TIC flows were $17.5 billion. Of this, net foreign private flows were $56.2 billion, and net foreign official flows were negative $38.8 billion, the Treasury Department reported.

Douglas A. McIntyre