Before Market Opens: From US inflation to FTX, 9 things to know at 9 am on November 11, 2022

Consumer inflation reached 7.7 percent in October from a year earlier and 0.4 percent from September, the Labor Department said Thursday. The year-over-year gain was the smallest since January. Excluding volatile food and energy prices, core inflation rose 6.3 percent in the past 12 months and 0.3 percent from September. The numbers were all lower than economists had expected.

The S&P 500 and Nasdaq jumped on Thursday, racking up their biggest daily percentage gains in over 2-1/2 years as a sign of slowing inflation in October sparked speculation the Federal Reserve might become less aggressive with interest rate hikes. The S&P 500 climbed 5.54 percent to end the session at 3,956.31 points. The Nasdaq gained 7.35 percent to 11,114.15 points, while Dow Jones Industrial Average rose 3.70 percent to 33,715.37 points. All 11 S&P 500 sector indexes rallied, led by information technology, up 8.33 percent, followed by a 7.74 percent gain in real estate.

Japanese stocks jumped more than 2 percent as shares in the Asia-Pacific rose Friday after the release of US inflation data in October raised investor hopes that inflation has peaked. In South Korea, the Kospi gained more than 3 percent at open and was last up 2.8 percent. Japan’s Nikkei 225 rose 2.5 percent, the Topix added 1.85 percent. In Australia, the S&P/ASX 200 was up 2.65 percent.

At 8:20 am, the SGX Nifty was trading 332 points or 1.8 percent higher at 18,429, indicating a gap up opening for the Indian markets.

Indian equities remained under pressure for the second consecutive session on November 10 as investors remained cautious ahead of the key US inflation numbers. Analysts expect the October inflation prints of the US to show signs of moderation; a negative surprise on this front may trigger a sharp selloff in the market. Following weak global cues, Sensex opened 509 points lower at 60,524.27 against the previous close of 61,033.55 and hit an intraday low of 60,425.47, falling 608 points. The index eventually closed with a loss of 420 points, or 0.69%, at 60,613.70. Nifty50 settled at 18,028.20, down 129 points, or 0.71%.

Oil prices rose on Friday as fears of a U.S. recession eased but were on track for weekly declines of more than 4% after a jump in COVID-19 cases in top oil importer China raised the spectre of weaker fuel demand. Brent crude futures were up 23 cents, or 0.3%, to $93.80 a barrel at 0101 GMT, extending a 1.1% rise in the previous session. U.S. West Texas Intermediate (WTI) crude futures rose 28 cents, or 0.3%, to $86.75 a barrel, after climbing 0.8% in the previous session. So far this week, WTI has fallen more than 6%, while Brent has dropped nearly 5%.

Foreign institutional investors (FIIs) have net bought shares worth ₹36.06 crore, whereas domestic institutional investors (DIIs) net sold shares worth ₹967.13 crore on November 10, as per provisional data available on the NSE.

Gold prices inched lower on Friday but were headed for a weekly gain as data pointed at signs of slowing inflation, lifting hopes that the US Federal Reserve would scale back on aggressive rate hikes, reported Reuters.

The rupee fell 38 paise to settle at 81.81 per dollar in the previous session amid weakness in Indian equities. FPIs, however, remained net buyers which seems to have capped the losses for the domestic unit. FPIs bought Indian shares worth ₹36.06 crore on NSE, BSE and MSEI.