10-year Treasury yield falls below all-time low as stocks swoon

The benchmark 10-year Treasury yield fell below its previous all-time low of 1.325% on Tuesday, according to Tradeweb data, as an extended selloff in the stock-market stirred inflows into haven assets. The 10-year rate dropped more than 5 basis points to trade at 1.322%. The last time the 10-year yield plunged to those levels was back in June 2016, when uncertainty around the U.K.'s decision to leave the European Union abounded. Bond prices move in the opposite direction of yields. The long-dated maturity is widely watched by economists and investors as it serves as broader barometer for growth and inflation expectations. It also is a key indicator of financial conditions as it is employed as the benchmark for borrowing rates in other lending products like mortgages. The S&P 500 and the Dow Jones Industrial Average added to Monday's selloff, when both benchmarks saw their biggest one-day percentage slump in more than two years. Investors have rushed into haven assets in February amid concerns that the COVID-19 outbreak in Wuhan, China, could spill over into the rest of the world, and dent global economic activity.

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