U.S. stock futures decline, 10-year Treasury yield breaks above 5% to hit a 19-year high.

BlockBeats news, September 15 - U.S. stock futures fell on Tuesday as market participants awaited the Federal Reserve's interest rate decision this week while U.S. Treasury yields continued to climb. S&P 500 futures dropped 0.3%, Nasdaq 100 futures fell 0.3%, and Dow futures declined about 229 points, or 0.4%.

The U.S. 10-year Treasury yield briefly rose to 5.041%, hitting a new high since 2007 and once again approaching and breaking through the key 5% threshold. Barclays strategists said that the 10-year yield nearing 5% is a historically important inflection point, and if it rises further, interest rates could exert more sustained pressure on U.S. equity valuations.

Meanwhile, oil prices continued to rise amid ongoing U.S.-Iran tensions and energy supply concerns. Brent crude futures briefly gained 1.8% to $107.55 per barrel, while WTI crude rose nearly 2% to $103.36 per barrel. The market worries that rising oil prices could further drive up inflation and force global central banks to maintain or shift toward a more hawkish monetary policy stance.

Currently, federal funds futures indicate about a 92% probability that the Fed will raise rates by 25 basis points on Wednesday, potentially lifting the target rate range to 3.75% to 4%. At the same time, the AI sector continued to come under pressure, with Nvidia falling about 3%, Corning dropping 13%, and the AI Innovation and Technology ETF declining nearly 4%.

In addition, U.S. Treasury Secretary Bessent will attend a House Financial Services Committee hearing on Tuesday, where he is expected to face questions on inflation, energy prices, interest rates, and federal debt.