U.S. stock futures inched higher early Monday, with the market once again on the cusp of all-time highs ahead of a week of key inflation reports. Dow Jones Industrial Average futures rose by 121 points, or 0.3%. S&P 500 futures advanced 0.1%, and Nasdaq-100 futures traded just above the flatline. Gains were kept in check after a Financial Times report said Nvidia and AMD agreed to give part of their revenue from certain chips sold in China — in exchange for export licenses to that country. Nvidia shares dipped around 1% in the premarket, while AMD lost 2%. Those moves come after the Nasdaq Composite ended last week at fresh closing highs, and the S&P 500 closed on the threshold of another milestone. The Dow also finished the week on a high note. A rally in Apple — which has been a significant laggard this year — helped bolster the market. The latest advance has some investors wondering how much longer the stock market can skirt pitfalls, given sky-high valuations, a dimming macroeconomic outlook, and tariff fallout all during a period of seasonal weakness. “We are probably going to be more in a digestion phase than anything else,” said Jay Woods, chief global strategist at Freedom Capital Markets. He added, “We may get a little bit of sideways action in this market, which is not a bad thing.” Inflation readings this week will prove a key hurdle for a broad market index near record highs. The consumer price index, which is set to be released Tuesday, and the producer price index, due out Thursday, will be critical in shaping the outlook for the direction of interest rates, especially for the Federal Reserve’s September meeting. Hotter inflation prints could hinder the market’s advance. “The most important thing is the CPI data,” Woods said. “That will definitely dictate monetary policy.” The inflation data comes ahead of the Fed’s Jackson Hole meeting in Wyoming on Aug. 21-23, which will likely set the tone for the September meeting. U.S. Treasury yields inched lower Monday as investors look ahead to key inflation data due this week which will offer fresh insights about the state of the U.S. economy. The 10-year Treasury yield was down over 1 basis point to 4.269%, and the 2-year Treasury yield was less than a basis point lower at 3.756%. The 30-year Treasury bond yield shed nearly 2 basis points to 4.835%. Oil prices were steady on Monday, after falling more than 4% last week, as investors looked ahead to talks between the U.S. and Russia later this week on the war in Ukraine. Brent crude futures were up 5 cents to $66.64 a barrel at 1003 GMT, while U.S. West Texas Intermediate crude futures were down 1 cent to $63.87. Gold prices fell more than 1% on Monday as investors waited for clarity from the White House on potential country-specific tariffs on bullion bars, while focus shifted to U.S. inflation data for clues to the Federal Reserve’s rate path. Spot gold was 1.1% lower at $3,362.21 per ounce by 0839 GMT, after hitting its highest since July 23 on Friday. U.S. gold futures for December delivery fell 2.1% to $3,417.30, having hit a record high of $3,534.10 on Friday after reports that Washington had imposed tariffs on imports of 1-kg bullion bars.