GLOBAL MARKETS-Global stocks slide as bond markets send recession warning

* 2-yr, 10-yr Treasury yields invert for first time in 12
years
* Dow closes down 800 points, worst day of 2019
* MSCI ACWI, Nikkei slip in early trading
* Asian stock markets: https://tmsnrt.rs/2zpUAr4

By Tomo Uetake
TOKYO, Aug 15 (Reuters) - Global stocks slumped to more than
two-month lows in early Asian trade on Thursday, tracking the
Wall Street slide as an inverted U.S. bond yield curve sent a
flashing warning to investors about rising recession risks.
Yields on 10-year U.S. Treasury notes US10YT=RR fell below
the two-year yield US2YT=RR , intra-day, for the first time
since 2007, in what is known as a yield curve inversion and
widely seen by investors as a sign that a recession is coming.
Asia shares sank at the open with Japan's Nikkei average
.N225 tumbling 2.0% and Australian stocks .AXJO falling
1.9%.
The MSCI ACWI .MIWD00000PUS , which incorporates readings
of 49 equity markets across the world, shed 2.1% to its lowest
level since June 4, while E-Mini futures for the S&P 500 ESc1
lost 0.1% in early Asia.
"The yield curves are all crying timber that a recession is
almost a reality and investors are tripping over themselves to
get out of the way as economic recession hurts corporate
earnings and stocks can drop as much as 20%," said Chris Rupkey,
chief financial economist at MUFG Union Bank.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS dropped 0.4% in early trade.
All three major U.S. indexes closed down about 3%, with the
blue-chip Dow .DJI posting its biggest one-day point drop
since October, major equity indices in Europe closed down 2% or
near that while crude prices slumped almost 5% at one point.
Economic data from China and Germany suggested a faltering
global economy, hit by the worsening U.S.-China trade war,
Brexit and geopolitical tensions. Senior U.S. officials said on Wednesday China has made no
trade concessions after U.S. President Donald Trump postponed
the 10% tariffs on over $150 billion worth of Chinese imports,
the latest sign that efforts to reach a trade deal were going
nowhere. Major currencies were relatively calm, with the dollar index
.DXY rising 0.2% and the euro EUR= adding a marginal 0.1% to
$1.1144. The Japanese yen strengthened 0.1% versus the greenback
at 105.83 per dollar, having firmed 0.8% on Wednesday.
Oil prices shed 3% on Wednesday after fresh Chinese and
European economic data revived global demand fears and U.S.
crude inventories rose unexpectedly for the second week in a
row. O/R
In early Asian trade, U.S. West Texas Intermediate (WTI)
crude futures CLc1 dropped 0.7% to $54.82 a barrel, having
lost 3.3% in the previous session.
Gold rose over 1% on Wednesday as an inverted U.S. Treasury
yield curve and weak euro zone data drove investors toward
safe-haven bullion. GOL
Spot gold XAU= stood at $1,516.55 per ounce early
Thursday, flat on the day and not far from its six year high
marked Tuesday.