China, the biggest foreign creditor of the United States, increased its holdings of US Treasury bills to $1.17 trillion in November, up $200 million from the previous month, the Treasury Department disclosed on Wednesday.

According to the department's monthly Treasury International Capital report, November saw a rebound in foreign demand for US bonds despite concerns over unresolved fiscal-policy debates in Washington.

Foreign investors bought a net total of $26.4 billion of Treasury notes and bonds during the month, more than double the $12 billion in net purchases recorded for October.