Foreign investors slashed their holdings of US securities by a record amount as the credit squeeze intensified, according to the latest US Treasury figures. Net sales of US market assets - including bonds, notes and equities - were $69.3bn in August after a revised inflow of $19.5bn during July, reports the FT. The August outflow exceeded the previous record decline of $21.2bn in March 1990. According to the Daily Telegraph, gross outflows from all forms of US investments totalled $163bn. Asian investors dumped $52bn worth of US Treasury bonds alone, led by Japan ($23bn), China ($14.2bn) and Taiwan ($5bn).
