Bond Yields Fall Near Multiyear Lows

Investors around the world pushed government bond yields near multiyear lows Tuesday, reflecting growing concern that global economic growth is slowing.

Bond yields, which fall as prices rise, have slid in recent weeks in response to a host of factors, including tepid economic data, geopolitical tensions and signs of caution from the Federal Reserve. While few see an imminent recession, many investors worry that economic growth could falter as the effects of Trump administration tax cuts fade, companies cut back on spending and higher tariffs restrict global trade.

Falling Treasury yields can be a warning sign to riskier assets, like stocks, if the decline signals doubts about the economy.

The yield on the benchmark 10-year U.S. Treasury note settled Tuesday at 2.268%, its lowest close since Sept. 2017. The Dow Jones Industrial Average fell 0.9%, after on Friday notching a fifth-consecutive week of declines, its longest string of weekly losses since June 2011. U.S. markets were closed Monday for Memorial Day.