U.S. inflation dynamics hold the fate of EUR/USD

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While the market is trying to understand where EUR/USD will go after the release of U.S. inflation data for December, the Federal Reserve is puzzling over the dynamics of consumer prices. The cost of goods has been falling for six consecutive months, ending in November, thanks to the recovery of supply chains. However, the prices of services, on the other hand, continue to rise. This creates huge uncertainty and complicates decision-making.Dynamics of U.S. InflationThe Federal Reserve has a dual mandate.

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