US stocks rose and Treasury yields fell on Tuesday ahead of key inflation data and the Federal Reserve’s outlook for interest rates due on Wednesday.
The blue-chip S&P 500 ended the day 0.3 per cent higher, while the tech-heavy Nasdaq rose 0.9 per cent.
Bond yields fell, with the two-year yield, which moves with interest rate expectations, down 0.06 percentage points to 4.83 per cent. The 10-year Treasury yield also fell, down 0.07 percentage points to 4.4 per cent after strong demand at an auction of $39bn of 10-year notes.
The moves come as economists anticipate US price pressures to have eased in May.
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