(Updates with index/price moves, analyst comments and geopolitical news from the first paragraph.)

US equity indexes fell after crude oil advanced amid worsening geopolitics related to Iran, while the 30-year government bond yield hovered close to levels seen around the 2007 global financial crisis.

The Nasdaq Composite dropped 1.1% to 26,348.1, and the S&P 500 declined 0.5% to 7,702.9 after midday Tuesday. The Dow Jones Industrial Average slipped less than 0.2% to 53,378.7.

Technology, industrials and communication services led decliners.

Most US Treasury yields retreated after midday. The 30-year yield hovered at around 5.29% after touching 5.34% intraday, the highest since 2007.

The increase in the 30-year yield to a 19-year high comes amid concerns that an imminent escalation in the Middle East sent Brent crude prices above $90 a barrel and will fan fears of inflation, according to a D.A. Davidson research note Tuesday.

The front-month US West Texas Intermediate crude oil contract rose 0.9% to $85.25 per barrel, and global benchmark North Sea Brent edged up 0.7% to $91.47 per barrel a day after the deadline to reach a permanent peace deal with Iran expired and as tensions mounted between the warring sides.

"There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran," Trump posted on his social media platform. "The Hormuz Strait is open and operating. All water mines have been removed or detonated."

Hormuz will remain closed until the US meets the conditions of an interim deal signed with Iran in June, Reuters reported, citing Iran's negotiator Mohammad Baqer Qalibaf in state media on Tuesday. On the same day, Trump posted an image that showed the Strait of Hormuz as "New U.S. Territory."