US stock futures tumbled on Monday with the US-Israeli war in Iran maintaining downward pressure after US equities notched a fourth consecutive week of losses.

Dow Jones Industrial Average futures (YM=F) dropped 0.6%, while those on the S&P 500 (ES=F) sank roughly 0.8%. Contracts on the tech-heavy Nasdaq 100 (NQ=F) led the retreat, down 0.9%.

Stocks are poised for yet another bruising day as the Middle East conflict enters its fourth week on the brink of major escalation. Risks built over the weekend, as the exchange of violent rhetoric between the US and Iran intensified. President Trump gave Iran an ultimatum on Saturday, saying that if the Strait of Hormuz remained closed after 48 hours, he would order attacks on Iranian energy infrastructure. On Monday, Tehran launched fresh attacks after promising retaliation.

Oil prices continue to rise, stoking market worries about a knock-on effect in higher prices, the Fed's inflation outlook, and across industries. West Texas Intermediate (CL=F) crude futures jumped to above $100 a barrel again, while global benchmark Brent (BZ=F) crude futures surged to top $113.

Yahoo Finance's Ines Ferré reports:

Gold (GC=F) futures fell roughly 4% Sunday night, poised to erase 2026 gains as the precious metal has shifted from a strong momentum trade earlier this year, to a losing bet amid the Middle East conflict.

Spot gold tumbled to about $4,372 per ounce, following a more than 10% decline last week, its worst weekly performance since 1983.

“This is an extremely brutal flush,\\" said Greg Shearer, head of base and precious metals strategy at JPMorgan on Friday.

\\"But from our perspective, what it's telling us is more about gold getting caught up in a contagion risk of a sell everything trade,\\" he added.

Gold and other precious metals have been in sell-off mode as surging oil prices stemming from the Middle East conflict have boosted inflation expectations and fueled concerns that the Federal Reserve and other central banks may not cut rates this year. In Europe, which relies heavily on oil imports, officials have floated the possibility of a rate hike.

Read more here.

Oil traded slight below last week's closing prices at the start of futures trading on Sunday, with roughly 24 hours to go on President Trump's 48-hour ultimatum to Iran.

Futures prices on Brent crude (BZ=F), the international pricing benchmark, initially surged but quickly gave up gains in the minutes after the open on Sunday, trading around $106 per barrel. Those on US benchmark West Texas Intermediate crude (CL=F) changed hands around $97.90 per barrel.

In a post on Truth Social at 6:45 p.m. ET on Saturday, President Trump said Iran had 48 hours to \\"FULLY OPEN, WITHOUT THREAT, the Strait of Hormuz,\\" or else \\"within 48 HOURS from this exact point in time, the United States of America will hit and obliterate their various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST!\\"

The threat by the US president comes after a week of attacks by the Iranian regime against energy infrastructure throughout the Gulf, including Qatar's Ras Laffan LNG export terminal — the world's largest such facility.

In a note to clients on Sunday evening, Goldman Sachs' oil desk, led by head of oil research Daan Struyven, raised its price targets for oil, now looking for Brent to trade at $110 per barrel through March and April, up from a previous call for $98 per barrel over the same timeframe under the assumption that \\"Hormuz flows remain at only 5% of normal levels for a longer 6-week period before a gradual 1-month recovery.\\"

The bank is now assuming an average 2026 price of $85 and $79 per barrel, respectively, for Brent and WTI, up from previous estimate of $77 and $72 per barrel for the two benchmarks. In 2027, Goldman expects Brent and WTI to average $80 and $75 per barrel, respectively.

\\"In the short-run, the market is likely to require a growing risk premium to generate precautionary demand destruction to hedge against shortages in longer disruptions risk scenarios,\\" Goldman's Struyven, Yulia Grigsby, and Alexandra Paulus wrote.

\\"A recognition of the risks from the high concentration of production and spare capacity is likely to lead to structurally higher strategic stockpiling and long-dated prices.\\"