US Futures and Oil Prices Slip Amid Ongoing Treasury Pressure

US markets started the week on a cautious note, with futures for major indices slipping in response to ongoing pressure on Treasurys. The S&P 500 future was down 0.2%, while Dow Jones Industrial Average futures fell 0.1% and Nasdaq futures slipped 0.7%. This comes after the S&P 500 rose just 0.4% last Friday, marking its second gain in six days since setting an all-time high.

The Federal Reserve has been struggling to get inflation back to its target rate of 2%, which has crept higher due to a range of tariffs and the Iran war slowing global oil shipments from the Strait of Hormuz. The Fed's preferred measure of inflation, personal consumption expenditures (PCE), is set to be released on Wednesday, which will give investors another important update on inflation.

The US Treasury Department has also been under pressure, with rising bond yields forcing an unusual intervention last week. The 10-year Treasury yield rose back to 4.73% on Friday, matching its highest point in more than a year, while the 30-year Treasury yield climbed and is near its highest level since 2007.

Oil prices also declined on Monday, with Brent crude falling 1.7% to $91.06 per barrel and US benchmark crude slipping 2.2% to $85.18 per barrel. This comes as Iran's currency hit a record low, adding pressure when its economy is already battered by earlier sanctions and a US naval blockade.