Monitor CA Core CPI m/m to gauge inflation's impact on interest rates and currency valuation.
Consumer prices play a significant role in overall inflation. Inflation is crucial for currency valuation as increasing prices often prompt central banks to hike interest rates to fulfill their mandate of managing inflation. Although volatile items make up approximately 25% of the Consumer Price Index (CPI), their instability can skew the underlying trends. This metric is one of the few non-seasonally adjusted figures included in the calendar and is commonly referenced.
What it Measures
The change in prices for goods and services purchased by consumers, excluding the eight most volatile items.
Usual Effect
When the 'Actual' figure exceeds the 'Forecast', it generally supports currency value.
Source & Frequency
Statistics Canada (latest release) - https://www.statcan.gc.ca/en/ • Released on a monthly basis, typically on the third Tuesday following the end of the month.
How Data is Derived
N/A
Also Known As
CPI Ex Volatile Items
Acronym
Consumer Price Index (CPI)