Investing.com - Long-term U.S. Treasury yields fell sharply on Thursday as stocks plunged and investors fretted what damage trade wars would inflict beyond Apple (NASDAQ:AAPL).
The 10-Year yield sank to 2.58% in morning trading, off more than 3%, putting it at levels not seen in a year.
Money rotated into bonds, pushing prices up and yields down, as it poured out of equities following Apple’s warning on the revenue for its latest quarter.
The S&P 500 was down 1.9% this morning.
Apple blamed emerging markets and China specifically, increasing worries that the trade war between the U.S. and China is now eating away at corporate profits.
Those fears were exacerbated this morning when White House economic adviser Kevin Hassett told CNN that a “heck of a lot” of U.S. companies would be downgrading earnings until a trade deal between the two countries was struck.