US consumer prices rose 0.4% month on month in October, above the 0.3% forecast, while core CPI rose 0.3% against expectations of 0.2%. The October jobs report also showed that nonfarm payrolls increased by 165,000 and unemployment edged down to 4.1%. The data strengthened expectations of a December Federal Reserve rate hike and helped lift the dollar. In the CME FedWatch snapshot after the CPI release, futures implied an 88.7% chance of a 25-basis-point hike in December and an 11.3% chance of a 50-basis-point increase. Traders were also pricing in the prospect of further tightening in early 2027.
Nvidia’s leadership change added to uncertainty around AI stocks, which had already come under pressure in last week’s selloff. Co-founder Jensen Huang resigned as CEO, and the company named Chief Financial Officer Colette Kress as interim CEO, according to its SEC filing. Nvidia shares closed about 4.3% lower on November 12 after a steeper intraday decline. In crypto, an early Friday snapshot from CoinGlass showed more than $1.3 billion in leveraged futures liquidations over 24 hours, including about $677 million in Bitcoin positions.
ETF outflows continued as the Crypto Fear & Greed Index fell from 28 to 20 on November 13, putting it in the Extreme Fear category, according to Alternative.me. The market could extend its decline next week or consolidate after the wave of liquidations.
