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Foreign inflows into US Treasuries in 2019 hit their largest level in seven years, data from the US Treasury Department showed on Tuesday. 

Overall foreign inflows rose to $6.696 trillion in December, up about $425 billion from a year earlier. 

Japanese and Eurozone investors sought higher-yielding US government debt in a world of negative interest rates and their combined purchses accounted for half of foreign buying of Treasuries last year. 

Japanese investors bought $115 billion worth of US Treasuries, while Eurozone investors snapped up more than $100 billion worth of Treasuries.

With coronavirus outbreak and increased fears of Chinese and global growth slowdown, the high-yielding treasuries, especially at the long end of the curve (10-year), could continue to attract haven flows. 

As a result, the 10-year yield could fall below the two-year yield, inverting the curve.