Stocks on Wall Street faced selling pressure after crude prices and bond yields advanced. 

The S&P 500 index decreased 0.2% and the Nasdaq Composite fell 0.4% after the yield on 10-year U.S. Treasury notes jumped above 4% for the first time in five weeks. 

Middle East tensions also weighed on the market as investors worried about the possible Israeli military strike targeting Iranian oil infrastructure. 

Texas intermediate crude oil prices rebounded above $75 a barrel, a six-week high following a 9% jump in the previous week, as tensions in the Middle East escalated. 

On the economic front, investors are looking forward to the release of U.S. consumer and producer price inflation reports for September.

Investors are anticipating CPI to ease to 2.3% and PPI to inch up to 0.1%.

Investors will also review the FOMC and ECB monetary policy meeting minutes and hope to get deeper insights into the latest rate decisions. 

Investors are also awaiting the release of retail sales in the Euro Area, international trade balances in France and Germany, and industrial output data for Germany.

In Asia, Japan is scheduled to release its current account balance, and the Reserve Bank of India is likely to leave its policy rate unchanged.

Markets in mainland China are scheduled to reopen on Tuesday after a week of national holidays amid high expectations of fiscal stimulus measures. 

Investors are also looking forward to the start of earnings season and leading financial companies including BlackRock, JP Morgan Chase, BNY Mellon, and Wells Fargo. 

Delta Airlines, PepsiCo, and Fastenal are other leading companies on the tap. 

U.S. Indexes and Treasury Yields

The S&P 500 index decreased 0.2% to 5,737.26, the Nasdaq Composite fell 0.4% to 18,073.21, and the Russell 2000 index fell 0.8% to 2,194.45. 

The yield on 2-year Treasury notes edged higher to 4.01%, 10-year Treasury notes inched up to 4.02%, and 30-year Treasury bonds inched higher to 4.30%.

WTI crude oil increased $1.32 to $76.12 a barrel, and natural gas prices edged down 10 cents to $2.74 a thermal unit.

Gold rose by $12.28 to $2,639.15 an ounce, and silver increased by $0.65 to $31.53.

The dollar index, which weighs the US currency against a basket of foreign currencies, edged higher to 102.46.

U.S. Stock Movers

Arcadium Lithium PLC soared 30% in New York trading to $4.02 after the mining giant Rio Tinto expressed interest in acquiring the company.

Property and casualty insurance stocks were in focus after Hurricane Milton strengthened into a Category 4 storm.

Hurricane Milton is forecast to approach Florida by Wednesday but is likely to weaken to a Category 1 storm after the landfall, according to the National Hurricane Center. 

AIG declined 1.4% to $74.94, Allstate Corp. declined 3.4% to $184.02, Chubb Ltd. dropped 3.3% to $281.22, and Travelers Companies fell 3.2% to $228.86. 

Universal Insurance Holdings plunged 15% to $17.85 on the worries that the insurance with heightened exposure to Gulf Coast could face heightened hurricane risks and higher claims.