16 July 2008, 17:28  USА: May, Net capital inflows - $2.5 billion

Foreign investors were net sellers of U.S. securities in May, failing to provide the capital inflows needed to offset the trade deficit for the month, the Treasury Department reported. Monthly net purchases by overseas investors totaled $-2.5 billion for the month. The trade deficit for May totaled $166 billion. In April, foreign investors were net purchasers of U.S. securities. The Treasury revised last month's total sale to $61.6 billion, from the $60.6 billion originally reported. Net long-term capital inflows totaled $67.0 billion, down from last month's revised $111.9 billion. Net foreign acquisition of long-term U.S. securities were $44.4 billion, down from the revised $99.7 billion in April. Net purchases of Treasury bonds and notes, both private and official, totaled $7.7 billion in May. In May, Japan was a net seller of Treasuries, cutting its holdings by $13.5 billion. China was a net purchaser of Treasuries, increasing its holdings by $4.5 billion. Oil exporters increased their holdings by $10.4 billion and the United Kingdom bought a net $24.7 billion.

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