High US CPI inflation is likely to cause the Fed to retaliate, offering USD support.
The market is reflecting mixed market signals for the EUR/GBP currency pair.
Sharp decline in the value of the JPY sparks BoJ response.
Read next: US CPI Data Due On Friday Offers USD Support (EUR/USD, USD/JPY, USD/CHF), Pound Sterling Rallies Against Euro Due To The ECB Press Conference Ambiguity (EUR/GBP)

EUR/USD Bearish as the market expects a hawkish Fed
The market is reflecting bearish signals for this currency pair. The Euro to US Dollar exchange rate fell heavily during last week's trading week in the wake of a toxic combination of international and domestic headwinds and could likely remain under pressure in the coming days if the Fed and US bond yields continue to wear down global investor sentiment.

The high US CPI inflation rate indicates that inflation is showing no signs of peaking, the Federal reserve is likely to continue on its hawkish path of tightening monetary policy, which is offering the USD support.

https://www.fxmag.com/forex/us-cpi-inflation-acceleration-likely-to...