Dow futures fall 200 points to kick off September as global bond yields rise: Live updates

JUST IN: Dow futures fall over 200 points to open September as global bond yields surge, with US 10-year at a 20-month high and inflation fears plus elevated oil prices rattling markets worldwide.

Dow futures dropped 240 points to open September, and nobody's surprised.

September is historically the worst month for stocks, and this year it showed up angry. The S&P slipped half a percent too, the Nasdaq nearly a full one, and tech took the punches. Nvidia, AMD and Micron all down more than one percent before the bell. You can see the mood on the floor here, and it's not a happy one.

The real story is bonds. The US ten-year yield hit 4.78 percent, a twenty-month high, UK Gilts are at levels last seen during the financial crisis, and euro zone inflation just jumped to 3.3 percent on the back of energy costs. All of that lands on the Federal Reserve's desk this month, with traders openly asking whether another hike is coming.

Goldman's own desk says investors aren't just nervous, they're actively pulling risk. When the money moves before the mouths do, pay attention.

This is Sara White, reporting for HIT.