US Stocks Plummet as Oil Prices and Bond Yields Surge

US stocks took a hit on Monday after oil prices and bond yields surged to multi-year highs. The S&P 500 fell 0.6%, with much of its gain from last week erased, while the Dow Jones Industrial Average dropped 292 points, or 0.6%. The Nasdaq composite was down 0.7%.

The move in bond yields came as the yield on the 10-year Treasury jumped to 5.24%, a level not seen since 2007 before the financial crisis and Great Recession sent yields plummeting toward zero.

Treasury yields have been rising due to concerns about inflation, Washington's massive debt load, and signs of solid economic growth. This makes borrowing more expensive for everyone and puts downward pressure on stock prices.

The uncertainty surrounding oil prices also contributed to the decline in stocks. Oil prices have been volatile since the US and Israel attacked Iran in late February, with Brent crude briefly climbing above $101 per barrel on Monday before settling at $97.83, up 0.4%.