FOREIGN HOLDINGS: Foreign demand for U.S. Treasury securities rose to a record level of $5.35 trillion in July. That's up 0.7 percent from June.
CHINA AND JAPAN: The Treasury Department report shows China, the largest foreign owner of Treasury debt, increased its holdings to $1.15 trillion. Japan, the second-largest holder of Treasury debt, boosted its holdings to $1.12 trillion.
OUTLOOK: Economists say uncertainty in Europe will keep demand for U.S. Treasury debt strong. U.S. Treasury debt is considered one of the world's safest investments.