Monitor US CPI y/y, a primary driver of inflation and interest rate decisions, impacting forex markets.
Consumer prices largely drive overall inflation. This metric is crucial for currency valuation, as increasing prices prompt central banks to raise interest rates in order to meet their inflation control objectives. This is one of the few data points not adjusted for seasonal variations that is reported on the calendar.
What it Measures
This represents the change in prices for goods and services purchased by consumers.
Usual Effect
'Actual' results that exceed 'Forecast' are favorable for the currency.
Source & Frequency
Bureau of Labor Statistics (latest release) - https://www.bls.gov/ • Data is released monthly, approximately 11 days after the end of the month.
How Data is Derived
The average price of various goods and services are sampled and then compared to the previous sampling
Also Known As
N/A
Acronym
Consumer Price Index (CPI)