Surging bond yields have pulled the Nasdaq into negative territory for the month heading into today's December jobs report.

Rising Treasury yields are ratcheting up the anxiety for equity investors. Thursday’s stock-market closure offered only a brief reprieve from the mounting tension.

We just finished another blowout year for the market, with the S&P 500 ( ^GSPC -1.11%) up more than 20% for the second year in a row. Market momentum is high as inflation and interest rates are both changing direction, and consumer spending remains strong.

Stock index futures reversed course and turned red on Friday, as investors braced for the key December jobs report.  S&P 500 futures (SPX) -0.1%, Nasdaq 100 futures (US100:IND) -0.1% and Dow futures (INDU) -0.