(The opinions expressed here are those of the author, a

columnist for Reuters)

By Mike Dolan

June 11 (Reuters) -

What matters in U.S. and global markets today

By Mike Dolan, Editor-at-Large, Finance and Markets

Markets are getting hit on several fronts: war, inflation,

interest rate rises and tech jitters. And while Donald Trump may

"love the inflation", the markets and wider public disagree.

True, Trump may have misspoken and was likely nodding not to

elevated prices themselves, but to the fact that May's core CPI

reading was slightly cooler than forecast. But with headline

inflation back as high as 4.2%, investors trying to slice and

dice the report for some optimism appear to be having a harder

time than the president - and will have to digest today's May

producer prices update, too.

I'll get into that and more below.

But first, check out my latest column on what low-hanging fruit

the EU should pick to help bring about a "global euro".

And listen to the latest episode of the Morning Bid daily

podcast. Subscribe to hear Reuters journalists discuss the

biggest news in markets and finance seven days a week.

LEARNING TO LOVE THE INFLATION

Oil prices fell on Thursday, having pared earlier gains

triggered by another round of military exchanges between the

U.S. and Iran overnight, which took their tit-for-tat strikes

into a second straight day.

Meanwhile, with the mega SpaceX IPO just about to hit the

Street, the broader chip and tech sectors can't seem to find

their feet. Major U.S. stock indexes closed lower on Wednesday

as chipmakers extended recent declines, with the SOX chip index

falling back over 3%. Wall Street futures were up before the

bell on Thursday, however.

Oracle plunged 9% in overnight trading after its earnings on

Wednesday, coming soon after Broadcom's own post-earnings swoon

set nerves jangling last week. For Oracle, tensions centered on

a growing debt pile as it borrows more to fund its AI

infrastructure buildout.

Adding to the angst about borrowing costs, the European Central

Bank is set to deliver its long-awaited rate rise on Thursday,

with focus likely to be on how much more tightening it could

signal down the line.

It's unlikely to suggest that today's hike is "one and done"

as the Iran war is aggravating its own inflation forecasts.

Markets are braced for as many as two further ECB moves later

this year.

Next week, markets will turn their attention to an expected

Bank of Japan rate rise and a likely hawkish Federal Reserve

meeting.

Notably, Treasury yields rose shortly after tensions in the

Gulf ratcheted higher, even though there appeared to be decent

demand at Wednesday's 10-year Treasury debt auction. Kevin Warsh

will not have an easy job at his debut meeting next week.

Chart of the day

This year's FIFA World Cup tournament - co-hosted by the

United States, Canada and Mexico - kicks off on Thursday amid

much excitement and considerable controversy over everything

from U.S. visas to sky-high ticket prices. But some of the

economic value of hosting the world's biggest sporting event can

be seen in vacation rental bookings in the cities holding the

games.

Today's events to watch

* U.S. May PPI (8:30 a.m. EDT), weekly jobless claims (8:30

a.m. EDT)

* U.S. 30-year bond auction (1 p.m. EDT)

* ECB interest rate decision (8:15 a.m. EDT)

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Opinions expressed are those of the author. They do not reflect

the views of Reuters News, which, under the Trust Principles, is

committed to integrity, independence, and freedom from bias.