Further, investors turned to be cautious ahead of FOMC meeting outcome on Wednesday, wherein many investors expect hawkish commentary from Federal Reserve.
The yield on the benchmark 10-year Treasury note dropped 17 basis points to trade at 1.3220% and the yield on the 30-year Treasury bond fell 15 basis points to trade at 1.8625%.
Meanwhile, Asian markets were lower today. Hong Kong markets saw a big sell-off on Monday with the benchmark Hang Seng index plunging 4% as the developer teetered on the brink of default.
Shares of China Evergrande Group plummeted 10.24% during the Asian trading session, after falling as much as 17% earlier.
Today mainland China and South Korea closed on Tuesday for a holiday.
Global equities witnessed heavy selling pressure on Monday as growing fears of China’s second largest real estate giant Evergrande’s possible default spooked markets. All three indices in the USA recorded fall of 1.7%-2.2% yesterday.
Further, concerns with regards to Evergrande and contagion effect of the same are likely to remain overhang for global markets in the near term.