(Yicai Global) Sept. 19 -- China, the United States’ second-largest creditor nation, reduced its holdings of US Treasury bonds for the fourth straight month in July to the lowest in more than 14 years.

China’s holdings of US Treasuries fell by USD13.6 billion to USD821.8 billion in July from the previous month, according to data released yesterday by the US Department of the Treasury. That was the lowest since May 2009.

China cut its holdings for seven straight months until February, increased them slightly in March, but has resumed shrinking them since then.

Japan, the US’ biggest creditor, increased its stash of US Treasury bonds by USD6.9 billion to USD1.1125 trillion in July. Japan has lifted its holdings every month since February except for May, when it slimmed them by USD30.4 billion.

The UK also trimmed its haul of US Treasury bonds in July, cutting them by USD9.9 billion to USD662.4 billion to rank as the US’ third-largest creditor.

The net foreign inflow into short- and long-term US securities and bank flows stood at USD140.6 billion in July, the data showed. The net inflow of private funds was USD149.4 billion, and the net outflow of official funds was USD8.8 billion.

Editor: Martin Kadiev