The way the market will react to this data point is most likely to be as follows. A strong inflation reading that comes in above 7% for the headline and above 6 % for the core will show market participants that the Fed still has more to do in terms of hiking rates
The US CPI inflation print is hotly anticipated and it could be a catalyst for USD weakness. See here how to trade it.
The Fed kept to the script and only delivered what the market was expecting.
Will the USD see a buy the rumour sell the fact response next week?
The best opportunity from Thursday’s CPI print lies in a US CPI miss,
The USD tends to see strength around the start of 2022. Will that pattern of dollar strength repeat again this year?
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