NEW YORK, Aug 28 — Wall Street sank at the open today as US bond yields fell further, fuelling recession fears, and as Britain’s prime minister suspended parliament, making a chaotic no-deal Brexit more likely and sinking the pound.

But share prices recovered about 30-minutes into the trading session.

Yields on 30-year Treasury bonds touched a fresh all-time low while the negative spread between 2-year and 10-year Treasury notes widened, a closely-watched recession indicator.

Meanwhile, British Prime Minister Boris Johnson today announced the annual suspension of parliament would be extended until two weeks before a Brexit deadline — exacerbating fears of chaotic and potentially damaging exit from the EU.

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About 30 minutes into the day’s trading, the benchmark Dow Jones Industrial Average edged up 0.1 per cent at 25,810.90, improving from a steep loss at the start.

The broader S&P 500 also recovered ground, returning to even at 2,870.31, while the tech-heavy Nasdaq was still off 0.2 per cent at 7,811.23.

“A no deal Brexit puts higher odds on Europe entering recession,” Alan Skrainka of Cornerstone Wealth Management told AFP, which he said caused the early sell-off.

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The US-China trade war remain a concern as well.

“Separately, market participants haven’t found much reason to think the US-China trade conflict is going to be resolved soon,” analyst Patrick O’Hare wrote at Briefing.com.

Among individual companies, jeweller Tiffany & Co rose 2.5 per cent after posting better-than-expected quarterly earnings. — AFP