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

U.S. stock futures leaned lower Friday on concern over possible export restrictions on Nvidia, ahead of key data on the jobs market. Dow Jones Industrial Average futures fell 41 points, or 0.1%, to 42837. S&P 500 futures dropped 17 points, or 0.3%, to 5942.

"Markets tried to front-run the Fed on the level of interest rates and are now paying the price," Jamie Cox of Harris Financial Group said.

There’s debate over what level in the 10-year yield would be especially problematic for stocks, with consensus coalescing around 5%. And markets have already gotten a taste of that: the less closely watched 20-year Treasury hit 5% this week.

Investors in the futures options market are betting the benchmark U.S. 10-year Treasury yield is headed higher to 5% in the near term, reflecting worries that the incoming Trump administration's policies will increase an already bloated fiscal deficit and revive inflation.

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.