US Treasury yields hit fresh record low

• US yields slip to fresh lifetime lows as investors sell risk on coronavirus fears. 
• Coronavirus is beginning to look like global pandemic, Singapore officials said.

The US treasury yields continue to slide as fears about the fallout from the virus outbreak is forcing investors to rotate money out of risk assets and into safe havens. 

The yield on the 30-year note is currently trading at a new record low of 1.52%, representing a three basis point drop on the day. The previous record low of 1.529% was reached on Mar. 3. 

The benchmark 10-year yield is also trading at a lifetime low of 0.892% and the two-year yield, which closely mimics short-term interest rate expectations, is currently seen at 0.586%, having hit a 44-month low of 0.548% on Thursday. 

The decline in yields is accompanied by a sell-off in the Asian stocks. Major Asian indices like Nikkei, Kospi, Shanghai Composite and Hang Seng are reporting 1 to 2% losses. Meanwhile, the futures on the S&P 500 are currently shedding 0.8%. 

Investors are selling risk as coronavirus outbreak outside China is showing no signs of slowing down. Singapore government’s virus-fighting task force was out on the wires soon before press time stating that the virus is starting to look like a global pandemic. 

Further, Asian Development Bank said the virus could cut global growth by 0.1 to 0.4% this year.