US Treasury Yield Falls Below 1% for the First Time Ever... Stock Market Plummets by Over 3%

Concerns Over COVID-19 Persist Despite Base Interest Rate Cut

[Asia Economy New York=Correspondent Baek Jong-min] After the Federal Reserve's (Fed) sudden interest rate cut, the yield on the U.S. 10-year Treasury bond has entered the 0% range. The New York stock market is extending its losses.

On the 3rd (local time), the yield on the U.S. 10-year Treasury bond was recorded at 0.993%. The yield on the 10-year Treasury bond was 1.085% the previous day, but with the Fed's 0.5 percentage point rate cut on this day, the decline deepened, setting a new record. This is the first time the yield on the U.S. 10-year Treasury bond has entered the 0% range.

As expected, the safe-haven asset gold is also strong. Gold is trading at $1,644.50 per ounce, up 3.1%.

The New York stock market continues to decline. As of 2:10 p.m. on this day, the Dow Jones Industrial Average is experiencing a sharp drop of 950 points. The Dow index had rebounded with a 5% increase the day before, but despite the Fed's rate cut, it is losing upward momentum.

The situation in the U.S. financial market on this day is interpreted as being influenced by concerns over the continued spread of the novel coronavirus infection (COVID-19) within the United States.

This content was produced with the assistance of AI translation services.