Traders on the floor of the NYSE, October 12, 2022.

Source: NYSE

Here are the most important news items investors need to start their trading day:

1. New data to consider

Investors have a lot of numbers to chew on this morning. The consumer price index, a measure of inflation, came in warmer than expected. That report followed Wednesday’s producer price index, which also came in higher than anticipated. Earnings are also rising. Delta Airlines reported Thursday morning, as did Walgreens and Domino’s. (See more on Delta below.) Markets are emerging on a choppy day for trading, as all three major US indexes fell slightly on Wednesday. Futures fell sharply on Thursday morning after the inflation report. Read live market updates here.

2. Surprise inside

US Federal Reserve Board Chairman Jerome Powell holds a news conference after the Federal Reserve raised its target interest rate by three-quarters of a percentage point in Washington, US, September 21, 2022.

Kevin Lamarque | Reuters

Minutes from the Fed’s September meeting show policymakers are surprised by the continued rise in prices, even as they aggressively raise rates to cool the economy. “Participants indicated that recent inflation data were generally above expectations and, accordingly, that inflation was declining more slowly than previously expected,” the minutes read. The big takeaway, though: The rate hikes will continue until inflation improves. Still, according to CNBC’s Jeff Cox, some Wall Street traders saw one crack against the Fed in this line from the minutes: “Some participants noted, especially in the highly uncertain global economic and financial environment for now, it would be important. to calibrate the pace of policymaking with the aim of mitigating the risk of a significant negative impact on the economic outlook.”

Read more: Mark Zandi of Moody’s Analytics sees major relief from inflation within six months

3. Delta rides the travel wave

Passengers carry luggage as they walk to flights in the West Gates terminal expansion at Los Angeles International Airport (LAX) in Los Angeles, California, on August 10, 2022.

Patrick T. Fallon | AFP | Getty Images

Delta Airlines It said on Thursday that it expects to post another profit in the final quarter of the year, as people are expected to take to the skies for holiday travel after more than two years of Covid restrictions and wariness. “The travel recovery continues as consumer spending shifts to experiences and corporate and international demand improves,” CEO Ed Bastian said in an earnings release. The company noted that its capacity is also improving – saying that up to 92% would be restored to pre-pandemic levels in the fourth quarter. He also aims to make a full recovery by next summer.

4. Ukraine is pleading for air defense assistance

Rescue workers clear debris from a damaged building in Odessa, southern Ukraine on April 24, 2022.

Oleksandr Gimanov Afp | Getty Images

As Russian missiles and drones continue to hit many of Ukraine’s cities, resulting in civilian deaths and blackouts, President Volodomyr Zelenskyy pleaded for more international help with air defense. He said Ukraine has only 10% of the air defense capability it needs, according to Reuters. Elsewhere, Russian MP Vladimir Putin is due to meet Turkish president Recep Tayyip Erdogan. The Turkish leader is expected to formally offer to host peace talks between Russia and western nations to end the war in Ukraine. Zelenskyy, however, has said that he will not negotiate with Putin and will only speak when Russian forces leave his country. Read live war updates here.

5. Dark times in Britain

British Prime Minister Liz Truss said on Wednesday that she would not cut public spending.

Leon Neal / Staff / Getty Images

The UK economy is a chaotic mess. Inflation is on the rise, households face high energy costs and the prospect of blackouts during the winter, and the government’s economic plans have fueled a bond market sink that puts its currency at risk. The economy also shrank by 0.3% in August. Analysts see this as the start of a recession that could last a while. “We now believe that the UK recession has started in the third quarter of 2022 and is likely to last for three quarters. Our near-term GDP forecast expects a recession spilling over into 2023 due to firm pressure and long on household budgets that fuel consumers. led recession,” said Raj Badiani, of S&P Global Market Intelligence. Read more from CNBC’s Elliot Smith.

– CNBC’s Alex Harring, Jeff Cox, Leslie Josephs, Holly Ellyatt and Elliot Smith contributed to this report.

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