U.S. Treasuries Behavior During COVID-19 Pandemic

New research presented at the Kansas City Fed's annual research conference in Jackson Hole questions the long-held belief that U.S. Treasuries are the world's 'safe haven' securities. The study suggests that during and after the COVID-19 pandemic, Treasuries behaved similarly to debt issued by other countries and big corporations.

Foreign Holdings of U.S. Treasuries

Foreign holdings of U.S. Treasuries hit a record in May, with Japan's stockpile declining as they appeared to start intervention to support their currency. U.S. Treasuries rose to $8.129 trillion, while Japan's holdings shrank to $1.128 trillion.

Foreign Holdings of U.S. Treasuries

Foreign holdings of U.S. Treasuries reached a record high in February, with Japan and Belgium increasing their holdings significantly. China's holdings decreased, while the overall inflow of long- and short-term securities saw a significant increase.