CPI is a highly important economic indicator as it corresponds to the inflation rate. The inflation rate has a significant impact on the monetary policy of the Federal Reserve. The market anticipates two additional rate hikes this year. As a result, the rise in the inflation data will confirm the possibility of rate hikes.
US CPI data will be out at 15:30 MT time on August 10.
• If the data is greater than the forecast, the USD will go up.
• If the data is weaker than the forecast, the USD will go down.
Check the economic calendar
So far, the inflation rate surged to 2.9% in June. It is the highest level since February of 2012.
EUR is falling against the GBP, rising against the USD but not for long