Dow futures tumble 400 points as yields continue rising; oil surges 5%: Live updates

BREAKING: Dow futures tumble 400 points as Treasury yields climb to levels not seen since 2002 and oil surges, piling fresh pressure on US stocks.

Dow futures are down over 400 points, and bond yields just hit a 2002 high.

The 10 year Treasury is paying 5.33 percent, a level nobody's seen in over two decades, and the 30 year is near 5.7. That started moving after Fed Governor Christopher Waller said more rate hikes may be needed to tame inflation. Markets heard him loud and clear.

Then oil poured fuel on it. Brent jumped 4 percent to around 104 dollars after Trump said he's done trying to cut a deal with Iran. Expensive crude keeps inflation hot, hot inflation keeps the Fed hiking, and that squeezes every stock on the board. Tokyo fell 1.4 percent, Seoul dropped 2.6, and Europe's red across the screen this morning.

The bulls are clinging to earnings season, with S&P profits expected to grow about 30 percent. But when the safest asset in the world pays 5.3 percent, stocks have real competition for the first time in a generation.

This is Liu Yang, reporting for HIT.