Treasury Yields Fall to Records as Stocks Cap May Slump

Treasury note yields fell to record lows, while U.S. stocks capped the worst monthly drop since September, amid concern over Europe’s debt crisis and a slowdown in American economic growth. Oil extended the biggest monthly decline since 2008.

The 10-year note’s rate decreased as much as nine basis points to an all-time low of 1.53 percent and rates on five-year and seven-year U.S. debt also dropped to records. The Standard & Poor’s 500 Index closed down 0.2 percent, paring a plunge of as much as 1.1 percent following a report that the International Monetary Fund was discussing potential plans to help Spain. Oil lost 1.5 percent to $86.53 a barrel and sank 17 percent this month. The euro was little changed near a two-year low of less than $1.24. German 30-year yields fell to a record 1.74 percent and slid below Japanese rates for the first time.