LONDON, May 12 (Reuters) - U.S. Treasury yields rose on

Monday after the United States and China agreed to lower trade

tariffs on one another during a 90-day pause, triggering a rush

of investor cash into risk assets and hitting safe havens like

bonds, the yen and the Swiss franc.

The world's two largest economies said in a joint statement

that they had reached a deal to impose a 90-day pause on tariffs

and reciprocal duties would drop sharply, giving investors some

confidence that a full-scale trade war may have been averted.

U.S. Treasury Secretary Scott Bessent, speaking after talks

with Chinese officials in Geneva, told reporters the two sides

had reached the deal that was outlined in a joint statement and

that reciprocal rates would drop by 115 percentage points.

The yield on the benchmark U.S. 10-year note

rose as much as 7.2 basis points in European trading to a

one-month high of 4.447% as prices fell, before retreating

modestly to 4.439%, showing a 6.4 bp rise on the day.

"There is a de-escalation between China and U.S...It's a

clear vote by the market in favour of riskier assets. It's a

step in the right direction and a positive for U.S. assets and

U.S. economy," said Kenneth Broux, senior strategist FX and

rates at Societe Generale.

The 10-year yield is still well above where it was prior to

Trump's April 2 "Liberation Day", when he unveiled a flurry of

tariffs on U.S. trading partners. At that point, 10-year yields

were at 4.15%.