U.S. markets rose Thursday as Treasury yields fell after Fed Governor Christopher Waller said he could support holding interest rates if inflation data develops as expected. The S&P 500 posted consecutive gains, while the 10-year Treasury yield declined to 4.77% after reaching its highest level since November 2023 a day earlier. The CME FedWatch tool put the probability of a September Fed rate increase at 50.2%, down from 63.2% on Wednesday. Waller said inflation remained meaningfully above the Fed's 2% target but that recent trends showed signs of disinflation. Vice President JD Vance called for lower rates to make housing more affordable, contrasting with Fed Chair Kevin Warsh's signal at last week's Jackson Hole symposium that rates could rise to address persistent inflation. In Canada, Prime Minister Mark Carney rejected U.S. Commerce Secretary Howard Lutnick's claim that Ottawa had undermined trade talks for political reasons, while saying a mutually beneficial deal remained possible. Lululemon shares fell 15% after the company cut its annual outlook; Interim CEO Meghan Frank cited negative social-media commentary and a greater-than-expected slowdown in core categories including leggings. Microsoft said Xbox Game Pass subscribers will face monthly cloud gaming limits starting in November, with extra hours available for purchase. Game Pass Ultimate, Premium and Essential plans will include 15, 10 and five hours respectively, at monthly prices of $22.99, $14.99 and $9.99.