NEW YORK, Oct 22 (Reuters) - U.S. long-dated Treasury yields dropped from five-week highs on Tuesday, in line with falls in yields globally, as investors turned cautious and awaited further news on Britain's eventual exit from the European Union and more details about the U.S.-China trade deal.
German Bund and UK 10-year Gilt yields were also lower on the day.
Volume, however, was thin overall in recent sessions and traders were inclined not to read too much to this week's moves.
"Brexit and trade: those are the two market drivers," said Gennadiy Goldberg, senior rates strategist, at TD Securities in New York. "The market is still largely waiting on Brexit and trade news. I don't think there's a lot of conviction one way or the other."
British Prime Minister Boris Johnson said on Tuesday he would end an attempt to win parliamentary approval for his Brexit legislation and instead press for an election if lawmakers reject his timetable. "I will in no way allow months more of this."
In China, the country's vice foreign Minister Le Yucheng said on Tuesday both China and the United States have achieved some progress in their trade talks and any problem could be resolved as long as both sides respected each other.
But Le also warned that China would never trade away its core interests or allow other countries to undermine its security.
In morning trading, U.S. 10-year note yields fell to 1.769% from 1.792% late on Monday. Earlier in the global session, 10-year yields hit a five-week high of 1.81%.
Yields on 30-year bonds were down at 2.253%, from 2.284% on Monday, touching a five-week peak earlier of 2.299%.
On the short-end of the curve, U.S. two-year yields slid to 1.598%, from Monday's 1.615%.
Markets are also looking to the Treasury's $40-billion two-year note auction later on Tuesday.
Analysts at BMO Capital Markets in a research note wrote that as the U.S. 2-year tenor is particularly sensitive to the Federal Reserve's monetary outlook, demand at the auction will be a crucial metric in determining appetite to buy at this point. "The proximity of this afternoon's 2-year auction to next week's FOMC (Federal Open Market Committee) meeting introduces some risk around the willingness to buy ahead of what could be a hawkish cut," BMO said.
The bank, however, added that even before the Fed began cutting, there has been an "undeniably solid trend" in 2-year auctions this year, as it expects decent demand at the auction.
(Reporting by Gertrude Chavez-Dreyfuss Editing by Chizu Nomiyama)