Stock Futures Slide as Oil Tops $100, Treasury Yields Climb

U.S. stock futures fell after three straight sessions of declines as WTI crude surged past $100 per barrel and Brent climbed above $101, driven by escalating U.S.-Iran tensions. Treasury yields jumped sharply, with the 10-year note reaching 4.912% and the 30-year hitting 5.344%.

The move in rates compounds pressure on equity valuations already strained by the oil spike. Initial jobless claims held steady at 206,000, offering no relief on the labor front, while producer price data showed modest inflation increases.

Among the canonical names, M, AVAV, AEO, and COO reported mixed earnings. Retail names AEO and COO face margin compression risk from higher input costs if oil remains elevated. AVAV, exposed to defense spending, could see divergent flows tied to geopolitical tensions. M confronts the dual headwind of rising yields pressuring discretionary spending and energy costs squeezing consumers.

The triple threat—crude above $100, yields near 5%, and persistent labor tightness—narrows the path for risk assets.