British government bond yields fall below 1% for the first time

LONDON (Reuters) – UK 30-year government bond yields fell below 1% on Wednesday for the first time, as investors rushed to buy fixed-income shelter badets; fears of a global recession intensified.
Declining bond yields reduce the cost of new government borrowing, but one can also think that financial markets are expecting a slowdown in growth and expected declines in interest rates on the part of the government. Bank of England.
30-year government bond yields fell to 0.988%, down eight basis points.
Government bond yields at 10 and 20 also reached record lows of 0.414% and 0.85%, respectively.
The trade dispute between the United States and China has raised fears of a slowdown in the global economy, a concern that has escalated after China announced that it would impose tariffs on retaliation.
The markets are betting that the Bank of England will have to reduce its interest rates before the end of the year if Britain leaves the European Union on October 31st without a transition agreement in order to minimize its negative economic effects.