CPI: Consumer Price Index. Forex with Alpari

Country:	USA
Definition:	A measure of change in the cost of the consumer basket of goods and services
Description:	CPI is the main inflationary indicator. It measures retail price changes in consumer goods and services, included into the fixed consumer basket, such as food, clothes, educational and health care services expenditures, expenditures on transport, utility bills, rest etc. The set of goods and services, included into the consumer basket, reflects typical set of goods commonly purchased by the population of a country. CPI is the most widely applicable inflationary indicator, used to calculate the minimum level wage, necessary to compose the nation’s budget. Once costs of consumer basket in 85 cities of the country are analyzed, Bureau of Labor statistics, U. S. Department of Labor defines the index value. In the USA CPI figures are collected from over 19000 retail establishments and 57000 households (about 80% of home population). Consumer basket is composed of goods (44.1%) and services (55.9%). No possible discount is taken into consideration when calculating this index. Moreover, improving quality of goods and services is also ignored. CPI ex Food & Energy is considered to be more reliable, as these goods are most changeable. CPI is analyzed together with PPI. In case economic rates of growth are quite steady, CPI and PPI increase may trigger interest rates hikes. It will bring about USD advance as investment becomes more profitable on higher interest rates. CPI ex Food & Energy, Core CPI, is considered to be more reliable, as these goods are most changeable
Influence:	The indicator increase may trigger interest rates hikes
Market Importance:
Released:	Released monthly, around the 15th -21st (on Tuesday or Thursday), soon after PPI release at 08:30 AM ET
Source:	Bureau of Labor statistics, U. S. Department of Labor

CPI: Consumer Price Index

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