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Bond yields are edging higher, easing stock market's recession jitters

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China stocks continued their slide on Tuesday on economic red flags in the bond market, while US futures signal a slight gain on Wall Street.

US 10-year Treasury yields edged up to ease traders' minds about the risk of recession.Markets eased a sigh of relief on Tuesday after traders fretting about warning signs in the bond market dragged global stock markets lower.

The 10-year US Treasury yield ticked up higher, easing concerns of a slowdown in US growth. The so calledOn Tuesday, US stock futures gained slightly, with a mixed morning trading session in Europe amid prolonged Brexit chaos. Chinese stocks slumped, after falling sharply on Monday, while the Nikkei rallied 2.2%.On Monday, China stocks tumbled on growth worries. Investors, selling about $1.6 billion in shares, according to Bloomberg.

"Mixed bag at the moment with caution the order of the day, according to Neil Wilson at Markets.com."Recession fears continue to weigh on sentiment and we will be looking for data to drive sentiment," he added.

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