U.S. Treasury bonds and notes traded in a range on Tuesday, after jittery Chinese stock markets weighed on risk sentiment and boosted demand for so-called safe-haven assets.
Benchmark U.S. 10-year notes moved lower in choppy trading to yield 2.2499 percent, after yielding 2.245 percent on Monday. (Bond and note prices move inversely to yields: CNBC Explains.)
U.S. Treasurys
went higher Tuesday, while thirty-year bonds traded lower.
Chinese stocks veered between gains and losses overnight, following a sharp selloff in the previous session after weak Chinese manufacturing surveys revived fears of a slowdown in the world's second-biggest economy.
On Tuesday, the Chinese CSI300 stock index closed up 0.3 percent, after a 7 percent dip on Monday resulted in trade being suspended. This was after China tested out its new system-wide circuit breakers, which are linked to the large-cap dominated index.
Monday was a rocky day for stock markets across the globe and the Dow Jones Industrial Average was no exception, closing down 1.6 percent. That marked the worst first trading day of the year since 2008.
The closed 1.5 percent lower on the day in its worst start to the year since 2001.
U.S. equities were mixed in afternoon trading.
Tuesday also brought auto and truck sales data for December throughout the day. U.S. automobile sales totaled a record 17.47 million in 2015, though totals for December came in below expectations.
Outside the U.S., Middle Eastern oil-producing nations are in focus after Saudi Arabia broke off diplomatic ties with Iran following an attack on its embassy. The White House has urged the two countries to show restraint, while Saudi Arabia has said that it will continue to push for peace in Syria and Yemen.