Home News Dow Teeters on the Edge as 30-Year Bond Yield Crashes to Record Low

Dow Teeters on the Edge as 30-Year Bond Yield Crashes to Record Low

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By CCN Markets: The Dow and broader U.S. inventory market traded combined on Thursday, as the flight to security belongings triggered one other steep fall in Treasury yields, with the 30-year rate of interest falling to new document lows.

Dow Secures Modest Gains

Wall Street’s main indexes moderated Thursday afternoon, as the Dow Jones Industrial Average edged up 45.07 factors, or 0.18%, to 26,524.49. The blue-chip index was up by as a lot as 133 factors.

Dow Jones
The flight to security retains the Dow Jones rally beneath wraps. | Source: Yahoo Finance.

The broad S&P 500 Index of large-cap shares superior 0.24% to 2,847.44. Gains had been primarily concentrated in shopper staples and utilities shares. On the reverse aspect of the ledger, power, industrials, and knowledge know-how firms fell sharply.

Sliding know-how shares weighed on the Nasdaq Composite Index, which fell 0.1% to 7,767.87.

30-Year Treasury Bond Yields Plummet Below 2%

Long-term bond yields plunged to historic lows on Thursday, as buyers continued to pile into the perceived security of U.S. Treasurys. The 30-year U.S. Treasury yield fell to a low of 1.920%, in accordance to CNBC. It was final down 6 foundation factors to 1.966%.

US Treasury yield
The yield on the 30-year U.S. Treasury fell beneath 2% on Thursday for the first time ever. | Source: CNBC.

The benchmark 10-year U.S. Treasury yield broke beneath 1.5% on Thursday for the first time in three years.

Bond markets flashed a recession warning on Wednesday after rates of interest on 10-year and 2-year Treasurys inverted for under the sixth time since 1978. Every recession for the previous 50 years has been preceded by a yield curve inversion that occurred a median of 22 months earlier than the economic system contracted.

Click here for a real-time Dow Jones Industrial Average chart.

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