Market Volatility Continues as Investors Await Key Economic Reports.

US futures rose and Treasury yields fell after a report showed inflation moderated slightly in April, while traders increased bets that the Federal Reserve will cut rates this year. US consumer prices rose 0.4% in April with headline CPI up 4.9% on a year-on-year basis, slightly below expectations for a 5% rise. The cost of insuring America’s debt against default now eclipses that of some emerging markets and even junk-rated nations. Investors remain on guard to risks from the standoff in US debt talks.