MORNING BRIEF · TUESDAY, NOVEMBER 10, 2026
Morning Brief: November 10, 2026 — Monthly U.S. inflation slows to 0.4%
U.S. consumer prices rose 0.4% in October as energy increases eased. Core inflation held at 0.3%, and real hourly pay was flat.
U.S. consumer prices rose 0.4% in October, down from 0.6% in September. The difference was most visible in energy. Prices still climbed, but much more slowly. Core inflation stayed at 0.3% for a third month, so the headline cooled without a matching slowdown in the index that strips out food and energy.
Overnight markets
At Monday’s U.S. cash close, the S&P 500 rose 2.3%, the Dow gained 2.2% and the Nasdaq Composite climbed 2.7%. The Treasury’s 10-year benchmark yield was 4.88% on its Monday afternoon reading.
Futures were mixed in the morning quotes. S&P 500 futures were down 0.10% at 8:30:01 a.m. Eastern. Nasdaq-100 futures were down 0.30% just before 8:30 a.m., and Dow futures were flat to within 0.01% at 8:40 a.m. In Europe, the STOXX Europe 600 was up 0.86% at 8:25 a.m. These are separate observations against the data feed’s prior closes.
Inflation slowed at the headline level
In the Bureau of Labor Statistics’ 8:30 a.m. release, the monthly energy increase dropped from 5.2% to 0.7%. Food moved the other way, rising 0.5% after a flat September. Shelter increased 0.3% and accounted for more than 30% of October’s overall monthly increase.
| Index | September | October |
|---|---|---|
| All items | +0.6% | +0.4% |
| Core | +0.3% | +0.3% |
| Energy | +5.2% | +0.7% |
| Food | 0.0% | +0.5% |
| Shelter | +0.4% | +0.3% |
The BLS left October’s 12-month headline and core changes blank because it lacked the October 2025 observations needed for those comparisons. It reported separately that average hourly pay on private nonfarm payrolls rose 0.4% in dollar terms. After adjusting for consumer prices, both average hourly and weekly earnings were flat.
Chip sales and a shrinking order book
Taiwan Semiconductor Manufacturing (TWSE: 2330, NYSE: TSM) reported October consolidated revenue of NT$586.89 billion. Sales rose 14.7% from September and 59.7% from a year earlier. The monthly filing gives a companywide sales figure. It does not show how much of October’s increase came from individual businesses or customers.
Palladyne AI (Nasdaq: PDYN) reported third-quarter revenue of $8.56 million, up 48% from the preceding quarter. It raised the low end of its 2026 revenue outlook to $25 million and kept the top at $27 million. Its GAAP net loss widened to $12.0 million from $3.7 million a year earlier.
Orders with funding in place fell from $21.2 million at June 30 to $15.3 million at September 30. Unfunded backlog stayed at $3.4 million. Palladyne says it booked revenue faster than new contracts came in, with $2.7 million in net new awards. Delivery made for a stronger sales quarter and left less funded work waiting in the queue.
Tuesday’s calendar · Eastern time
- Already out. ADP’s weekly estimate put seasonally adjusted private payroll growth at a preliminary average of 19,750 jobs a week over the four weeks ended October 24. October CPI and real earnings followed at 8:30 a.m.
- 9:30 a.m. NYSE regular session opens.
- 11:00 a.m. The New York Fed releases its third-quarter household debt and credit report.
- 1:00 p.m. Treasury is scheduled to auction $42 billion in 10-year notes.
- 5:00 p.m. CoreWeave’s third-quarter earnings call.
Into the open · The number Waller singled out
At 4 a.m. Eastern, before the inflation release, Fed Governor Christopher Waller said he leaned toward a quarter-point rate increase in December under his baseline. He said a half-point move should be considered if monthly core CPI came in around 0.3% or higher. October landed at 0.3%. That gives the morning’s softer headline a sharper edge. It leaves core inflation right where one Fed governor said a larger move merited discussion. His remarks preceded the data and represented his own view.
Source and timing notes. U.S. cash moves refer to November 9’s regular close. The price table uses BLS Table A. TSMC reports in New Taiwan dollars and Palladyne in U.S. dollars. Data checked through 8:40 a.m. Eastern on November 10.