Japan resumes place as largest US creditor, but China likely to favor dollar assets again

Japan has overtaken China as the largest foreign creditor of the United States, a development that reflects economic and policy changes in the world's three largest economies, experts said.

According to data from the US Treasury, private investors and official institutions in Japan held $1.2244 trillion in US government securities as of the end of February, narrowly exceeding the $1.2237 trillion held by China.