U.S. government debt yields slipped Monday after gaining overnight as investors digested the trade cease-fire brokered between the United States and China.
While Asian markets initially sold U.S. government debt in light of the temporary truce reached at a Group of 20 summit in Buenos Aires, Wall Street's top economists were quick to point out that fundamental issues remains between the two economic powerhouses.
The yield on the benchmark 10-year Treasury note was seen trading lower at 2.995 percent at around 2:29 p.m. ET, while the benchmark on the 30-year Treasury bond also fell to 3.282 percent.
The Treasury yield curve, the mathematical line that plots interest rates across maturity dates, started on Monday to invert. Inversion occurs whenever short-term rates exceed long-term rates of equal credit rating and is often heralded as a recession indicator.
The yield on United States government bonds with 3-year maturities climbed to 2.838 percent, while yield on U.S. bonds with 5-year maturities dropped to 2.834 percent. The closely followed spread between the 2-year Treasury note yield and the 10-year Treasury note yield slipped to 16 basis points, further away from inversion.