Glossary · from the DESK dictionary
Consumer Price Index (CPI)
An index measuring the average price change of a representative consumer basket of goods.
In plain words
The most closely watched concrete measure of inflation.
Example
If the CPI rises 3% over a year, that corresponds to a 3% inflation rate.
What it means for traders
One of the most market-moving economic data releases, directly influencing central bank decisions.
Common pitfalls
The basket can only partially reflect individual spending patterns — 'felt' inflation can diverge.
Related terms
Base Effect · Base Year · Core Inflation · Cost of Living · Deflator · Economic Calendar · GDP Deflator · Harmonised Index of Consumer Prices (HICP) · Headline Inflation · Hedonic Pricing · Household Basket of Goods · Import Price Index · Inflation · Inflation Basket · Price Index · M2 Money Supply · Personal Consumption Expenditures Index · Producer Price Index · Retail Price Index (RPI) · Bureau of Labor Statistics
From the DESK dictionary. For information only, not investment advice.
This is one page of many.
- The DESK dictionary explains more than 9,400 market terms like this one, in English and German – searchable, sorted by topic and difficulty, with favourites.
- Plus the Macro Terminal with more than 900 indicators per country, company pages and a weekly report.
Also open to read: Glossary A–Z · Free calculators · Weekly report archive
DESK is a research tool and not investment advice. Page generated: 2026-10-12.