The S&P 500 Index risks sinking 20% if inflation spikes on the back of higher oil prices, according to a report by RBC Capital Markets LLC strategists that laid out three possible pullbacks.Most Read from BloombergShuttered NY College Has Alumni Fighting Over Its FutureDo World’s Fairs Still Matter?

Asian shares are mixed and oil prices have climbed further as escalating Iran-Israel tensions threaten to disrupt supplies of crude

U.S. stock index futures edged higher on Monday as easing oil prices helped calm sentiment despite ongoing attacks between Iran and Israel and increased focus on the upcoming Federal Reserve meeting.

Although the U.S. is a net oil exporter, higher oil prices could increase inflation and lower economic growth.

The selloff in the 10-year Treasury kicked off Friday right after Israel abruptly launched military strikes against Iran, and the pressure hasn’t let up since.

A sustained rise in the price of crude oil, which jumped sharply after Israel attacked Iran, could hurt consumers and President Trump’s efforts to bring down energy costs.

Oil prices leaped, and stocks slumped on worries that escalating violence following Israel’s attack on Iranian nuclear and military targets could damage the flow of crude around the world, along with the global economy.

Oil prices are rising and stocks are falling on worries that Israel's attack on Iranian nuclear sites could damage flow of crude around the world.

Front-month crude oil futures were lower and Julius Baer said oil prices were expected to rise temporarily before returning to previous levels.