US stocks attempt rebound as commodities continue surge and worries of stagflation percolate

"[We] need to start admitting we are running into stagflation," Doubleline's Jeff Gundlach said in an interview with Magnifi Media on Monday.

• US stocks attempted a rebound on Tuesday even as commodities like oil continue to surge.
• Rising commodity prices and an expected slowdown in economic growth have led some to suggest stagflation has arrived.
• Stagflation, or high inflation and a slowing economy, has historically proven to be a bad recipe for stock prices.

US stocks staged a slight rebound on Tuesday even as commodity prices continued to rise in the face of geopolitical tensions between Russia and western countries.

Prices of oil, wheat, and precious metals all saw gains on Tuesday, extending their Monday surge as investors sized up the impact of crippling sanctions that have hit Russia, which is a major exporter of several commodities. Reports also surfaced on Tuesday that the US is preparing to ban imports of Russian oil.

"[We] need to start admitting we are running into stagflation," DoubleLine's Jeff Gundlach said in an interview with Magnifi Media on Monday. 

Stagflation occurs when inflation is high and economic growth is slowing, and has historically been a poor recipe for stock prices.

Here's where US indexes stood shortly after the 9:30 a.m. ET open on Tuesday:

• S&P 500: 4,195.40, down 0.14% 
• Dow Jones Industrial Average: 32,848.25, up 0.09% (30.87 points)
• Nasdaq Composite: 12,770.24, down 0.47% 

A short-squeeze and crippling economic sanctions against Russia led to Nickel prices soaring more than 110% this week, topping $100,000 a ton. 

Russia threatened to turn off the taps of its energy supply to Europe, leading a continuation in the surge in oil prices and European natural gas prices remaining near record highs. And more supply from OPEC won't fill the hole left by Russia, as OPEC's chief said there's "no capacity in the world" that could replace it. 

Wheat prices have soared, extending their gain from Monday to trade at record highs. Ukraine is likely to see a disrupted farming season this year and is often considered the bread basket of Europe.

JPMorgan is removing Russian sovereign and corporate debt from all of its widely-tracked bond benchmarks, and the Russian stock market remains closed. A Russian stock ETF from VanEck has also been halted and no longer trades.

President Joe Biden is preparing to sign an executive order that would expand US oversight of the $2 trillion cryptocurrency market.

West Texas Intermediate crude oil rose as much as much as 4.14% to $124.34 per barrel. Brent crude, oil's international benchmark, jumped as much as 4.56% to $128.83.

Bitcoin rose 0.67% to $38,812.

Gold rose as much as 1.23% to $2,020.80 per ounce. The yield on the 10-year Treasury rose eight basis points to 1.85%.