In January 2026, non-U.S. investors significantly increased their holdings of U.S. Treasury bonds, with an additional $34.8 billion, bringing total holdings to $9.3 trillion—marking the second-highest level in history. Japan remains the largest foreign holder, increasing its holdings by $39.8 billion in the month, pushing the total to $1.2 trillion, the highest since July 2022. The UK ranks second, adding $29.3 billion, with total holdings reaching $895.3 billion, the third-highest level in history. China comes in third, increasing its holdings by $10.9 billion, bringing the total to $694.4 billion, the highest in recent months. The EU collectively increased its holdings by $8 billion, with total holdings reaching $2.1 trillion. Global allocation of funds to U.S. Treasury bonds continues to rise, with current holdings at historic highs. The U.S. dollar system remains highly attractive. In terms of global uncertainty, interest rate spreads, and liquidity, the U.S. still holds the advantage.