Glossary term
CPI (Consumer Price Index)
The standard measure of consumer inflation; a market-moving monthly release that shapes Fed rate expectations.
CPI (Consumer Price Index) is the standard measure of consumer-level inflation, tracking the price change of a representative basket of goods and services. Its monthly release is one of the most market-moving data points because it directly shapes Federal Reserve rate expectations. Core CPI, which strips out volatile food and energy, is watched more closely than the headline figure for the underlying inflation trend. See Money Temperature 101.