"Emerging Markets Face Reality Check with Fed's Pivot"

The rally in emerging market and Asian stocks may cool down due to unexpectedly high U.S. producer price inflation figures, with attention turning to Indian consumer inflation. The U.S. yield curve and the upcoming U.S. CPI data could also impact trading in Asian markets. The recent pivot message from the Federal Reserve has been consistent, but the higher-than-expected producer inflation data serves as a reality check for those betting on the Fed being done with rate hikes. India's CPI report is expected to show a decline in annual inflation, driven by moderating food prices and government subsidies offsetting the rise in crude oil costs.