Japan is now the largest foreign holder of U.S. Treasury securities, surpassing China, according to the Treasury department.
As of the end of February, Japan held $1,224.4 billion of U.S. government securities, up from $1,210.8 billion a year earlier. China held $1,223.7 billion, down from $1,272.9 billion a year earlier.
Low interest rates around the world have made Treasuries extraordinarily popular. In Japan, the government 10-year note yields 0.32%, vs. 1.89% for the bellwether 10-year T-note. The German 10-year government bond yields just 0.11%, according to FactSet.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.