How Yesterday's CPI Impacted the US Dollar

14 set 2022

The DXY rallied massively, one of the only assets to benefit off a strong CPI reading which suggests the Fed will double down on their efforts to curb inflation. We had broken down into the 107's, then blasted through two handles to the 109's again. We are currently in the midst of our levels between 109.26 and 109.86, after testing and rejecting 109.86. We have to break through 110.20 before we can establish new highs and make a run for our next target at 111.37. If we retrace, 108.50 should provide support.