Bond Yields Fall to Records as Stocks, Euro Slide on Debt

Government bond yields in the U.S., U.K. and Germany fell to records, while stocks dropped and the euro traded below its lifetime average against the dollar on concern the region’s debt crisis is deepening. Commodities slid as a Chinese central-bank adviser said growth may slow further.

The yield on the 10-year U.S. Treasury note declined to 1.44 percent at 4 p.m. New York time after reaching an all-time low of 1.40 percent. Two-year German yields slumped to as low as minus 0.08 percent and Spanish and Italian yields jumped. The Standard & Poor’s 500 Index lost 0.9 percent, with almost eight shares declining for each one rising. The euro fell for a fourth day and oil dropped 3.5 percent. Credit-default swaps on Spain rose as much as 31 basis points to an all-time high of 636.