The Treasury Department says total foreign holdings rose 0.9 percent in January to $5.05 trillion, the sixth consecutive monthly increase.
China boosted its holdings 0.7 percent to $1.16 trillion. Japan, the second-largest buyer of Treasury debt, increased its holdings 2 percent to a record $1.08 trillion. U.S. government debt is considered one of the safest investments. Demand for it has increased as Europe's debt problems have intensified.