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Core CPI
Posted by
18-Nov-13 02:14PM
Core CPI is also called as Consumer Price Index/CPI Ex Food and Energy, Underlying CPI.
Bureau of Labor Statistics provide the data.
CPI data release date delayed by 5 days due to the US government shutdown.
Food and energy prices account for about a quarter of CPI, but they tend to be very volatile and distort the underlying trend. The FOMC usually pays the most attention to the Core data - so do traders.
Traders have to care before trading or invest in market because CPI data directly impact on inflation. Inflation is very important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate.
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