LONDON, Aug 15 Reuters Global stocks were stuck near fiveweek lows on Tuesday as rising government bond yields unnerved investors, while rate cuts from China and disappointing data underscored the economic malaise gripping the world39;s second biggest economy.

Emerging markets remained in focus a day after Argentina devalued its currency by nearly 18, while Russia39;s central bank on Tuesday raised interest rates by 350 basis points at an extraordinary meeting following a fresh slide in the rouble.

U.S. 10year Treasury yields meanwhile rose to a ninemonth high at around 4.22 , while Germany39;s benchmark 10year bond yield rose to its highest since March as a selloff in bonds, driven in part by resilient U.S. economic growth, deepened.

European stocks fell almost 0.8, U.S. stock futures pointed to a weak open on Wall Street , while Asian shares fell 0.4.

This all left MSCI39;s world equity index, heading back towards fiveweek lows touched on Monday.

We have seen resilient markets but the rise in bond yields and how that gets resolved will be important in the second half of the year, said Tim Graf, head of EMEA macro strategy at State Street Global Advisors.

CHINA CUTS, RUSSIA HIKES

Cuts to China39;s oneyear loans to financial institutions, at 15 basis points, were the largest since the outset of the COVID pandemic. Industrial output and retail sales growth both slowed from a month earlier to a yearonyear pace of 3.7 and 2.5 respectively, missing expectations.

The…