DAX & S&P 500 Eye CPI After Monday's Rally; Key Levels Ahead

The S&P 500 rose 2.35% to close at 7,549.94 on Monday, while the Nasdaq jumped 2.74% as Brent fell 5.5% and the VIX dropped to 20.02. The DAX rose 1.73% to 26,267.19, part of a broad relief rally that followed last week's post-election turbulence. The surge was boosted by a decline in oil prices as well as gains in technology shares after last week's volatility, with the S&P 500 posting its best session since April.

Strong October jobs data, with payrolls up 165,000 versus much lower forecasts and unemployment at 4.1%, have already pushed December hike odds toward about 80%. That has left investors focused on whether inflation will reinforce or ease pressure on the Federal Reserve. All eyes will be on the inflation report set to be delivered Tuesday, particularly off a hot jobs report on Friday, as investors look to predict what the Federal Reserve will do with interest rates at its December meeting.

What the calendar says

2026-11-10 at 12:30 UTC — The Bureau of Labor Statistics releases the US Consumer Price Index (CPI) for October, the final publicly available inflation print before the Federal Reserve's December meeting. Consensus forecasts headline CPI at +0.3% month-over-month and core CPI to slow slightly to +0.2% month-over-month, down from September's 0.6% and 0.3% readings, respectively. Annual inflation is forecast to rise to 3.9% even as monthly price growth slows, which would keep inflation well above the Fed's 2% target.

A softer-than-expected or in-line print, particularly on core CPI, is seen as possible modest relief that might slightly cut hike odds and provide some support to risk assets like equities. An upward reading, especially when core is sticky, would solidify tightening expectations, boost yields and the dollar, and strain growth- and tech-sensitive assets.

S&P 500: technical picture

The chart shows that the price staged a sharp recovery from the 30 October intraday low near 7,550, breaking back above the 7,569 horizontal pivot that had acted as resistance. Monday's close at 7,549.94 sits just below that level, and the index now tests the upper boundary of the recent consolidation zone around 7,730–7,785.

A red horizontal line runs through 7,569, marking the fulcrum for the recent range. Immediate resistance lies at 7,730, followed by the 7,785 highs printed in late October. Support appears at 7,485 and then at the 7,322 lows from 5 November, which marked the deepest point of the post-midterm sell-off. A break below 7,485 would shift the near-term structure lower, while a sustained move above 7,730 would open the way to a retest of the October highs and potentially challenge the all-time levels printed earlier in the year.

DAX 40: technical picture

The chart shows that the index has moved in a broad uptrend from mid-October lows near 25,100, peaking at 26,689 on 4 November before pulling back sharply into the 5 November lows near 25,194. Monday's 1.73% gain brought the index back to 26,267, reclaiming the mid-range level around 26,000 and reversing most of the prior session's losses.

Key resistance stands at the 4 November highs near 26,688, with minor resistance visible around 26,400–26,500. Support lies at 26,000, then at the 25,600 area, and finally at the 25,194 swing low from early November. The hourly candles show a series of higher lows from mid-October through early November, followed by a sharp spike lower and an equally sharp recovery. A close above 26,500 would confirm the resumption of the earlier uptrend, while failure to hold 26,000 would raise the risk of a deeper retracement toward 25,600 or below.