Burshan Sansarlioglu and Emir Yildirim
11 November 2026•Update: 11 November 2026
Global markets traded on a mixed course on Tuesday as the hotter-than-expected monthly consumer inflation in the US fueled expectations that the Federal Reserve will hike rates next month despite the optimism from tech firms.
Expectations that interest rates may have to remain high for a longer period dampened risk appetite.
The US consumer price index (CPI) rose 0.4% month-on-month in October, exceeding the 0.3% expected rise but slowing versus September’s 0.6% monthly increase. Annual figures were not released.
The core CPI excluding food and energy rose 0.3% month-on-month at the same time, above the 0.2% expectation but at the same pace as in September.
CPI measures the average change over time in the prices urban households pay for a selected basket of goods and services. It is one of the main indicators of inflation.
Fed board member Christopher Waller supported a rate hike in his speech prior to the release of the inflation figures.
Fed officials said that at least two more 25-basis-point rate hikes could be needed but the pace of the hikes will have to depend on short-term economic and financial conditions.
The Fed was expected with an 87% probability to hike rates by 25 basis points in December, but recent statements from Fed presidents fueled expectations of a 50-basis-point rate hike.
The US 10-year, five-year, and two-year Treasury bond yields rose on Tuesday and the US Treasury market is closed on Wednesday due to Veterans Day.
The US dollar index edged up 0.2% on Tuesday to 102.2, while trading flat on Wednesday. Gold dropped 2.7% to $4,031 per ounce on Tuesday and rebounded by 0.6% at $4,054 on Wednesday.
Meanwhile, Qatar said progress has been made in resolving the crisis between the US and Iran.
Brent crude falls over 3.5%
January-delivery Brent crude oil fell more than 3.5% on Tuesday and dipped below $ 90 a barrel amid diplomatic resolution expectations in the Middle East and later stabilized at $91.5, while trading up 1% at $92.4 a barrel on Wednesday amid continued attacks in the Strait of Hormuz and expectations of a larger-than-expected decline in US oil stocks.
The average price of gas across the US fell to $3.98 a gallon, below $4 for the first time since July, according to the American Automobile Association (AAA).
If oil prices decline sustainably, inflation could slow down in the coming months via lower energy and transport costs, but a strengthening dollar and rising bond yields limit risk appetite in the short term.
At the same time, Claude developer Anthropic is aiming to raise up to $64.4 billion for its initial public offering (IPO), one of the largest on Wall Street ever.
US, China to manage AI risks: Bessent
US Treasury Secretary Scott Bessent said Washington and Beijing will cooperate to manage risks in artificial intelligence (AI).
The US household debt rose 1.8% in the third quarter to $19.1 trillion, according to New York Fed.
The New York Stock Exchange traded lower on Tuesday amid inflationary pressures.
Nvidia CEO Jensen Huang was reportedly targeted by foreign intelligence, leading shareholders to sue Nvidia and Huang. They alleged that they misled investors by not disclosing the executive’s affair with Alice Huang, a former executive at Singaporean Megaspeed, who has allegedly gathered intelligence on behalf of the Chinese government.
Nvidia shares dropped 5.5% following these developments.
US tech firm CoreWeave’s shares soared 14.8% in after-hours trading following its better-than-expected earnings.
The Dow Jones Industrial Average fell 0.3%, the S&P 500 declined 0.38%, and the Nasdaq Composite was down 0.7% on Tuesday.
European stock markets closed higher
Meanwhile, European stock markets closed Tuesday higher, except for the UK.
Bank of England (BoE) deputy governor Clare Lombardelli said she forecast the bank’s policy rate higher than that of other committee members and that the interest rate level was less restrictive than expected. She did not rule out consecutive rate hikes and said the bank will have more information by mid-December.
Germany’s ifo Institute said Berlin did not deliver on its promise to channel more than half of the new debt it took via private funds into investments like bridges, roads, or climate projects, and had instead used it for daily spending like payroll and bills.
British telecom giant Vodafone laid off 3,000 workers in its European operations in April-September, raking in cost savings of $222.9 million. The firm aims to have saved $2.2 billion by the 2030 fiscal year and an additional 2,300 workers will be laid off in Germany.
Germany’s DAX 40 rose 0.31%, France’s CAC 40 climbed 0.55%, and Italy’s FTSE MIB 30 was up 0.69%, while the UK’s FTSE 100 fell 0.29% on Tuesday. European indexes started Wednesday on a positive trend.
Near Wednesday’s close, Asian equity markets traded mixed, despite easing concerns over AI demand, with CoreWeave’s strong earnings driving up gains in the Japanese and South Korean markets.
Taiwanese chip giant TSMC’s shares rose 4.2% after approving investments of up to $1 billion from Anthropic and OpenAI.
Japan’s Nikkei 225 rose 1.3%, and South Korea’s Kospi gained 2.5%, while China’s Shanghai Composite fell 0.2%, and Hong Kong’s Hang Seng was down 0.9%.