CPI for beginners: which number do you actually look at?

FTC Community TeamStaff17 Sept 202613 views

Every CPI release comes with several figures: headline inflation, core inflation (excluding food and energy), month-on-month and year-on-year. Beginners often don't know which one the market is reacting to.

Which do you watch?

headline or core, and why
monthly or annual
how you found out which figure matters for the dollar

The CPI guide explains the differences and how to read the release.

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Background: CPI explained: headline and core inflation for forex traders

The consumer price index is the inflation figure markets watch most closely. What it measures, why core CPI matters and how it links to interest rates.

What is the difference between headline and core CPI?

Headline CPI includes all items in the basket. Core CPI excludes food and energy, whose prices are volatile, to show the underlying trend in inflation.

What time is US CPI released?

At 8:30 a.m. New York time, usually around the middle of the month, by the Bureau of Labor Statistics.

Read the full guide

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