According to The Wall Street Journal, China recently purchased a record amount of U.S. government agency debt and mortgage-backed securities, even as it sold Treasurys. The WSJ has more:
"There is no evidence that Chinese investors are losing confidence in the U.S. market,'' said Ian Lyngen, a senior government bond strategist at CRT Capital Group LLC. "In fact the notion that they are buying dips [in bond prices] is longer-term constructive" for the U.S.
