US Treasury yields drop amid concerns for stock market turmoil

US Treasury yields declined today, Aug. 8 as investors turned to safe-haven assets after stock indices closed Wednesday in the red.

The 10-year sovereign bond yield fell by 3.8 basis points to 3.93% at 3:20 pm KSA time, after ending Wednesday's trading at 3.968%.

The yield on the 2-year US Treasury notes, which is most sensitive to monetary policy changes, decreased by 4.2 basis points to 3.957%, while the yield on the 30-year bond dropped by 2.1 basis points to 4.239%.

This came after US stocks turned lower at the end of yesterday's session, sparking investor concerns about continued global stock market sell-offs that began earlier this week.

The losses in the markets on Aug. 5 were driven by fears of a slowdown in the US economy—the largest in the world—after signs of weakness in the labor market and a contraction in manufacturing activity.

US jobless claims data is expected to be released later today, with forecasts indicating a decrease of 4,000 claims last week. Investors are closely watching this data for more insights into the state of the labor market.