Foreign iinvestors poured a record $101.9bn into US assets in September, according to Treasury data that eased market concerns about funding the US current account deficit and propelled the dollar towards two-year highs against the euro and sterling.

US inflows were dominated by $93.4bn of inflows into bonds, but overseas investors put $24.6bn into US equities the largest monthly net inflow since February 2000, just ahead of the bursting of the stock market bubble.