Global shares tumble on global growth concerns; Treasury yields fall

February 8, 2016 11:06 AM

The Dow Jones industrial average  fell 379.37 points, or 2.34%, to 15,825.6, the S&P 500  lost 45.32 points, or 2.41%, to 1,834.73 and the Nasdaq Composite  dropped 130.44 points, or 2.99%, to 4,232.71.

Europe's broad FTSEurofirst 300 index was last down 3.66% at 1,236.11. 

Many Asian share markets were shut for the Lunar New Year holiday. Chinese markets will remain shut this entire week.

Benchmark 10-year Treasury yields reached a one-year low of 1.7400%, as the stock market decline and concerns about slowing global growth increased investor appetite for safe-haven government debt.

U.S. 10-year Treasury notes were last up 30/32 in price to yield 1.7431, from a yield of 1.848% late Friday.

"Weakness in global equities is adding pressure on Treasuries," said Ian Lyngen, senior government bond strategist at CRT Capital in Stamford, Connecticut, in reference to yields.

The dollar fell to a roughly 14-month low against the yen of 115.170 yen, partly on doubts about the effectiveness of the Bank of Japan's negative interest rate policy.

Safe-haven spot gold reached a peak of $1,198.70 an ounce, its strongest since June 22.

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