Keyboard CAPS LOCK light working in reverse

As you haven't provided the model I'm not certain your equipment has a caps lock light, as not all keyboard do.

Assuming it just doesn't have one this little piece of software(link below) could be the solution for you, it provides a little indicator in your system tray as to whether caps lock is enabled or not.

Caps Lock Indicator

1.Make sure the "Caps Lock" key is not on. Though this will be obvious to most people, if your keyboard is typing in only upper-case letters it can't hurt to check. Look at the "Caps Lock" indicator light on the top right corner of your HP keyboard. If the light is on, strike the "Caps Lock" key on the left side of your keyboard. This will turn the "Caps Lock" off, allowing you to type in lower case letters again.

2.Make sure the "SHIFT" keys on your HP keyboard are not stuck. Dust and dirt can build up on a keyboard over time, which can cause certain keys to stick. If either of your keyboard's "SHIFT" keys get stuck, your computer will type in only capital letters. Use a toothpick or cotton swab to remove the gunk from the key, which should help it return to its normal position.

3.Unplug your HP keyboard and then plug it back it. This will remove the device from your operating system and then automatically add it back in. This can have the same effect, essentially, as restarting your computer. If your keyboard was typing in capital letters due to an error being stored in your operating system's memory, that error will now be cleared and the HP keyboard will function as normal again.

4.Update your HP keyboard driver. Click "Start" and then right click on "Computer." Click "Properties" and then "Device Manager." Right click on the listing for your keyboard and then click "Update Driver." This will update the computer software that is associated with your HP keyboard. If your keyboard was typing in all capital letters as a result of an error with this driver, the error will now be fixed and you can use your keyboard normally again

May jusy be a keyboard fault if so replace the keyboard. Also obviously you can see when you are typing in CAPITALS

it is not on the keyboard, but on a LED light on the panel, on the hinge cover.

Your EX 110 receiver has 3 indicator lights (LEDs) that display the status of the Caps lock, Function key, and the Num lock during normal operating mode. These lights will also flash when the connect button on the receiver is pressed.
LED A: Indicates that the Caps Lock (Capital lock) key is on when lit.
LED F: Indicates that the F keys are in Standard F Keys Mode when lit and in Enhanced F Keys Mode when the LED is off.

• Your EX 110 keyboard has an Enhanced F Keys Mode for F keys that provides additional functions you can program. See Knowledge Base article 9526.

LED 1: Indicates when the Num Lock (Number lock) key is on. This function allows the number pad to produce only numbers

Your EX 110 receiver has 3 indicator lights (LEDs) that display the status of the Caps lock, Function key, and the Num lock during normal operating mode. These lights will also flash when the connect button on the receiver is pressed.
LED A: Indicates that the Caps Lock (Capital lock) key is on when lit.
LED F: Indicates that the F keys are in Standard F Keys Mode when lit and in Enhanced F Keys Mode when the LED is off.

• Your EX 110 keyboard has an Enhanced F Keys Mode for F keys that provides additional functions you can program. See Knowledge Base article 9526.

LED 1: Indicates when the Num Lock (Number lock) key is on. This function allows the number pad to produce only numbers

I concur 2/3's with yooperbud.

1 = System is connected and working
A = Cap locks On= Cap lock is on. Off = Cap lock is off.
F = Function Key usage. On = I'm going to use the alternative fuctions of the F keys as programmed in the Keyboard settings. Off = Your using the standard features of the F keys.

Most keyboards now a days usually tell you on screen whether or not the caps lock is on but its possiblbe that when you press the key yowards the left or right hand side a light goes on or possibly in the top center if this is not the case then you may have a faulty keyboard.

press caps lock and F9 together see if that fixes it

With the new keyboards they don't use lights to indicate what is on or off. While pressing the Caps Lock key , look at the right lower side of your monitor and it will show Caps Lock ON or Caps Lock OFF. Just have to get use to looking at the monitor. Bud