Oil Price Surge Sparks Inflation Concerns, Weighing on US Stock Futures

US stock futures took a hit on Monday as oil prices surged past $108 per barrel, reigniting inflation concerns and pushing Treasury yields higher.

Nasdaq 100 futures dropped about 1%, while S&P 500 futures fell roughly 0.5% and Dow futures slipped 0.5% or 305 points, reflecting the broader market's unease.

The increase in oil prices was attributed to President Donald Trump's rejection of Iran's proposal to reopen the Strait of Hormuz, although further negotiations are expected this week.

Investors are also bracing for US inflation and jobs data, which could determine whether the Federal Reserve follows September's rate increase with another move in October.