FX.co ★ Foreign Demand for U.S. Long-Term Securities Turns Negative in July, Snapping June Surge

Net long-term TIC (Treasury International Capital) transactions in the United States swung sharply lower in July 2026, dropping to -$27.9 billion from a strong $174.4 billion in June 2026. The latest figures, updated on 16 September 2026, signal a notable reversal in foreign appetite for U.S. long-term financial assets.

The move from robust net purchases in June to net sales in July suggests that international investors reduced their exposure to U.S. long-term securities over the month. While the data do not specify drivers behind the shift, such a turnaround can reflect changing global risk sentiment, portfolio rebalancing, or evolving expectations about U.S. interest rates and growth.

This negative July reading may prompt closer scrutiny from market participants who track cross-border capital flows as a gauge of confidence in U.S. assets. Persistent weakness in net long-term TIC flows could have implications for financing conditions and demand for U.S. government and corporate debt going forward.