• The inversion of the yield curve compounded concerns of an economic slowdown in the US, as the occurrence has preceded each of the last seven recessions.
  • Disappointing economic data from Germany and China caused the rally in global bonds as investors shifted away from equities toward the relative-safety of long-term treasuries.
  • Visit the Markets Insider homepage for more stories .

US stocks plummeted on Wednesday after the spread between two- and 10-year Treasury yields fell below zero for the first time since 2007, igniting fears of an economic slowdown.

The occurrence is also referred so as "an inversion of the yield curve," and its happened before each of the last seven recessions. The inversion has been coming for some time now, as the spread has been shrinking over the last several months.

Meanwhile, the yield on 30-year Treasurys also fell to a new low, piling onto concerns of a recession.

Here's a look at the major indexes as of the 11:45 a.m. EST on Wednesday:

Worrisome data from Germany and China, two of the world's largest economies, spurred the bond rally as investors fled to the relative-safety of haven investments like long-term treasuries.

China's industrial output growth shrunk to a 17-year low in July and fell short of analysts expectations. Retail sales and capital spending for July also came in below forecasts, indicating a broad-based slowdown in China's economy.

Germany's economy contracted by .1% in the second quarter as exports slumped amid the trade war between the US and China.

Bank stocks also fell amid the broad-market sell off as investors grew worried about profits from their lending businesses. Citigroup and Bank of America slid-more than 3%, as JPMorgan tumbled about 2.5%.

Wednesday's losses erased gains from a rally on Tuesday that was prompted by the Trump administration's decision to delay some tariffs on Chinese imports in September.

Markets Insider is looking for a panel of millennial investors. If you're active in the markets, CLICK HERE to sign up.

NOW WATCH: Stewart Butterfield, co-founder of Slack and Flickr, says 2 beliefs have brought him the greatest success in life

See Also: