The stock market's stiffest headwind, a surge in Treasury bond yields, was blown aside Wednesday by a surprisingly benign inflation report, which could rekindle bets on multiple Federal Reserve rate cuts before year-end.

U.S. stock futures were mostly rising Thursday after a surprise cooldown in a key inflation measure appeared to boost the chances that the Federal Reserve will cut interest rates at some point this year.

The drop in yields occurred as traders resumed betting on another Fed rate cut by July. Traders ignored the strong December employment data released Friday, which sparked a surge toward the highest levels in months as it sowed doubts that policymakers would cut rates at all this year.