Government Bond Yields Fall for Fear of Pandemic

With the spread of COVID-19 accelerating across the world, the three-year government bond yield fell below 1 percent for the first time in history in the morning of March 9.

In the South Korean bond market, the bond yield reached 1.020 percent, down 5.8 basis points from the previous day, at 9:24 a.m., March 9 after reaching 0.998 percent immediately after the opening of the trading session. The previous lowest closing yield, 1.116 percent, was recorded on March 4.

The 10-year government bond yield fell to 1.288 percent on March 9. Likewise, the five-year government bond yield fell 7.5 basis points to 1.107 percent a year.