CPI TEST: WILL INFLATION HEAT UP AGAIN? Today's U.S. CPI report is expected to show inflation rising to 4.2% in May from 3.8% in April, driven largely by higher energy costs linked to the Iran conflict. Investors are watching closely for clues on interest rates, with markets increasingly pricing in a possible Fed rate hike later this year. A hotter-than-expected reading could trigger a stronger market reaction than a downside surprise.(*Walter Bloomberg)