US treasury bonds offer negative yields

The short end of the Treasury yield curve offered negative rates on Wednesday. 

The yield on the one-month bill fell to -0.056%, while the yield on the three-month bill declined to -0.46%. 

The drop into the negative territory could be associated with the increased demand for the safe-haven treasuries due to the coronavirus outbreak and fears of an unprecedented global recession. 

The yields, however, could soon rise back into the positive territory as the US Senate is close to passing the landmark $2 trillion fiscal stimulus bill, which aims to stem the economic fallout from the coronavirus pandemic. 

The US 10-year yield closed Wednesday at 0.86%, having hit a low of 0.69% on Monday.