10-year US yields fall further below 3-month bills

[SYDNEY] Yields on benchmark US 10-year treasury notes fell further below three-month rates in Asia on Monday, an inversion that has in the past signalled the risk of economic recession.

US 10-year treasury yields were last 1.9 basis points (bps) below three-month rates compared to 0.07 bps late on Friday in New York.

The yield curve inverted on Friday for the first time since mid-2007.

Chicago Federal Reserve Bank President Charles Evans said on Monday it was a good time for the US central bank to pause and adopt a cautious stance even though the economy remains in a strong position.

REUTERS