Worries over trade and the economy have pushed down stocks this month.

Posted on August 28, 2019

Traders are closely monitoring developments between the world’s two largest economies. The ongoing U.S.-China trade dispute has placed an increasing strain on the global economy, prompting policymakers to respond with interest rate cuts and stimulus measures to bolster growth.

A 10-year rate below the 2-year yield is viewed by fixed income traders as an important recession prognosticator, marking an unusual phenomenon as bondholders receive better compensation in the short term. Meanwhile, the U.S. 30-year Treasury yield fell to a new record low of 1.906% on Wednesday