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Foreign central banks net buyers of U.S. debt -Fed

Thu Jan 17, 2008 4:30pm EST

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NEW YORK, Jan 17 (Reuters) - Foreign central banks were net buyers of U.S. debt and federal agencies in the most recent statement week, U.S. Federal Reserve data showed on Thursday.

Bonds

The Fed said its holdings of Treasury and agency debt kept for overseas central banks rose $24.18 billion in the week ended Jan. 16, to stand at a total of $2.083 trillion.

The breakdown of custody holdings showed overseas central banks bought about $12.50 billion in Treasury debt to stand at a total $1.246 trillion.

The foreign institutions bought securities from government-sponsored agencies like Fannie Mae (FNM.N) and Freddie Mac (FRE.N), adding $11.68 billion to their holdings, to stand at a total $836.85 billion.

Overseas central banks, particularly those in Asia, have been huge buyers of U.S. debt in recent years, and own over a quarter of marketable Treasuries.

The full Fed report can be found on:

here (Reporting by Ellen Freilich; Editing by James Dalgleish)



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