Global stocks fall after US reports surging inflation - 11.3.2022

The Dollar strengthening is intact currently. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, rose 0.5% Thursday as the annual rate of inflation ticked up to 7.9%, a new 40 year high.

Both GBP/USD and EUR/USD reversed their climbing Thursday despite European Central Bank statement it will stop bond buying in the third quarter. Euro and Pound are lower against the Dollar currently. Both USD/JPY and AUD/USD continued their rising yesterday with yen higher against the Greenback currently and Australian dollar lower.

Futures on three main US stock indexes are down again currently ahead of preliminary University of Michigan consumer sentiment report at 16:00 CET today. US stock market dipped on Thursday on rising inflation while Treasury Secretary Yellen commented it was likely inflation would stay uncomfortably high this year. The three main US stock benchmarks recorded daily losses in the range of 0.3% to 1.0% led by tech stocks.

European stock indexes futures are mixed currently after closing solidly lower Thursday led by auto shares. United States, together with the Group of Seven nations and the European Union, are expected to revoke Russia's "most favored nation" status today over its invasion of Ukraine. Asian indexes are mixed today with Hong Kong’s Hang Seng index leading losses after US-listed Chinese stocks tumbled over concerns Chinese firms could be de-listed in the United States.

Brent is rebounding currently. Prices ended down yesterday as Russia pledged to fulfil contractual obligations. Russian President Vladimir Putin told a meeting that the country would continue to meet its contractual obligations on energy supplies. The US oil benchmark West Texas Intermediate (WTI) retreated 2.6% but is higher currently. Brent crude lost 1.6% to $109.33 a barrel on Thursday.