U.S. Treasury yields finished the year close to record lows as investors sought the safety of government debt amid concerns about the fiscal cliff and global economic uncertainty.

The yield on the benchmark 10-year Treasury note ended the year at 1.76%, not far from the record low of 1.43% reached in July. The 30-year Treasury bond yield closed at 2.97%, also near its all-time low.

Demand for U.S. government debt was supported by worries that the U.S. economy could fall back into recession if Congress failed to reach a deal to avoid the fiscal cliff, a series of tax increases and spending cuts scheduled to take effect at the start of 2013.

Uncertainty about the global economic outlook also boosted demand for Treasuries. The euro zone debt crisis continued to weigh on investor sentiment, and concerns about slowing growth in China added to the cautious mood.

The Federal Reserve’s accommodative monetary policy also helped to keep Treasury yields low. The Fed has pledged to keep interest rates near zero until the unemployment rate falls to 6.5% and inflation rises to 2%.

Analysts expect Treasury yields to remain low in the near term, but they could rise later in 2013 if the U.S. economy strengthens and the Fed begins to scale back its monetary stimulus.