* The United States sells $ 10 billion on $ 10 billion at * Interest rate cuts by Asian central banks increase bond purchases (Updates market action, adds quotation, table) By Richard Leong NEW YORK, Aug. 7 (Reuters) - U.S. Treasury returns fell Wednesday, with a 30-year return near record lows, is increasing fears of a global economic downturn and rates Federal Reserve needs to pick up the pace of interest rate cuts to counteracting rising recessions. A carefully watched US recession, the premium on three-month Treasury bills over 10-year interest rates raised to its highest level since March 2007. Bond yields fell worldwide with German yields record low in negative territory. It came in the wake of several Asian central banks that lower the key rate addresses growth problems arising from the escalating trade war between China and the United States. Interest rates in New Zealand, India and Thailand touched a floods of purchases of longer dated bonds in Asia, which persisted to European and American trade, analysts said. "The supply of interest rate cuts from central banks abroad added fuel for attendance, "said Jonathan Cohn, interest rate strategist at Credit Suisse in New York. Huge demand for treasuries is expected to support demand for $ 27 billion of ten-year government notes for sale at. ET. The 1[ads1]0-year note sale is part of this week's $ 84 billion quarterly repayment expected to raise $ 26.7 billion cash for new federal spending. In "when-issued" activity, traders expected the latest 10-year note supply to get a return of 1,637%, which will be one 3-year low on a 10-year auction letter. In the open market, the return is on 10-year notes was 10.20 basis points lower at 1.6365%. They had previously fell to 1.595%, the lowest since October 2016. The prices of 30-year or long-term bonds were up 3 points price, and put them on the field for a sixth day of winnings. Thirty years return was down 12.20 basis points 2.1475% after hitting 2.123% previously, which was far from over an all-time low of 2.089% set in July 2016, according to Refinitive data. Longer-dated government bonds had a combined return of 6.02% above previous five days, the biggest gain since October 2011, according to an index compiled by Bloomberg and Barclays. Interest futures suggested traders build games The Fed would cut interest rates a further three times by the end of the year avert a recession. Investors' fear of a recession was underscored inversion between three-month bills and 10-year returns, which expanded to 39 basis points, a level not seen since March 2007. August 7, Wednesday 11:17 AM New York / 1517 GMT Price US T BONDS SEP9 163-9 / 32 73/32 10YR TNotes SEP9 130-116 / 256 22/32 Price Current net Yield% change (Bps) Three-month bills 1.98 2.0176 -0.031 Six-month bills 1.89 1.94 -0.062 Two-year note 100-100 / 256 1.5487 -0.062 Three-year marked 100-14 / 256 1.4813 -0.070 Five-year note 101-88 / 256 1,4691 -0.077 Seven-year note 102-40 / 256 1.5478 -0.084 10-year note 106-164 / 256 1.6365 -0.102 30-year bond 115-240 / 256 2.1475 -0.122 YIELD CURVE Last (bps) Net change (Bps) 10-year vs 2-year return 8.60 -2.90 30-year vs 5-year return 67.70 -4.00 DOLLAR Swap SPREADS Latest (bps) Net change (Bps) U.S. 2-year dollar exchange -2.50 -2.25 spread U.S. 3-year dollar exchange -5.00 -1.25 spread U.S. 5-year dollar swap -7.50 -1.75 spread U.S. 10-year dollar swap -12.00 -1.75 spread U.S. 30-year dollar swap -40.75 -1.50 spread (Reporting by Richard Leong; Editing by Bernadette Baum)
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