The U.S. Treasury yields slumped during late European session Tuesday after returning from a long weekend, following concerns over global economic growth after the International Monetary Fund (IMF) downgraded estimates for global growth, projecting a 3.5 percent growth rate across the globe this year, and 3.6 percent for 2020.
The yield on the benchmark 10-year Treasuries plunged nearly 3 basis points to 2.755 percent, the super-long 30-year bond yields slumped 2-1/2 basis points to 3.070 percent and the yield on the short-term 2-year traded nearly 2 basis points lower at 2.595 percent by 11:35GMT.
Market sentiment towards risk assets worsened amid mounting concerns about a weakening global expansion. Following the release of data from China earlier this week which showed an annual GDP growth rate of 6.6 percent in 2018, the slowest pace in nearly 30 years, the IMF lowered its GDP global growth forecast for both 2019 and 2020 to 3.5 percent and 3.6 percent, respectively, in its updated January 2019 World Economic Outlook. Lingering US-China trade tensions and the ongoing uncertainty surrounding Brexit are not helping risk sentiment either, Eurobank Economic Analysis & Financial Markets Research reported.
In the US, today will bring just existing home sales data for December, which, following an improved showing the prior month, are expected to decline again back close to the bottom of the range of the past three years.
Meanwhile, the S&P 500 Futures fell 0.80 percent to 2,650.12 by 11:40GMT, while at 11:00GMT, the FxWirePro's Hourly Dollar Strength Index remained neutral at 52.17 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex


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