Canadians bought more foreign stocks and bonds in July than they have in more than seven years, Statistics Canada said Thursday.
Purchases of foreign securities by Canadians jumped to $9.7 billion during the month, the data agency said Thursday. That's the largest monthly figure since April 2007.
At the same time, foreign investors acquired $5.3 billion of Canadian securities during the month.
So far this year, Canadians have bought more than $25 billion worth of foreign stocks, especially non-U.S. ones. That's more than fourteen times the amount they bought during the same period in 2013.
By contrast, foreign investors have bought $21.5 billion worth of Canadian stocks so far in 2014. That's are marked reversal from the trend in the first seven months of last year, when foreigners sold off some $1.6 billion worth of Canadian stocks.
Foreign investors have now bought up Canadian stocks for 11 straight months — seemingly taking advantage of a strong Canadian stock market, which is up by 12.5 per cent since the start of the year.
Foreigners are also likely benefitting from a weaker Canadian dollar this year, which makes good Canadian stocks cheaper for them to buy.