Warsh said the Fed “will have work to do” without clearer inflation progress.

US stock futures steadied after Monday’s losses as higher oil prices fueled inflation concerns and lifted Treasury yields. The Dow fell 0.7%, while the S&P 500 and Nasdaq lost 0.33% and 0.12%. Manufacturing and services data come next, followed by Friday’s jobs report.

Japan’s 10-year yield jumped to 2.99%, its highest since 1996, as yen weakness and import-driven inflation strengthened BOJ hike expectations. Bessent reportedly urged Katayama and Ueda to raise rates, while higher US yields added pressure.

Check out today's market updates.