#CPI&JoblessClaimsWatch copas aja deh
#CPI&JoblessClaimsWatch : Why Is This Data Important For Traders & Investors?
Every week, the financial markets react to two important economic data: Consumer Price Index (CPI) and Jobless Claims. Both provide a direct picture of the economic conditions in the United States and can trigger significant volatility in the stock, bond, and forex markets.
What Is CPI?
Consumer Price Index (CPI) measures the average change in prices of goods and services consumed by households. In other words, it is a key indicator of inflation. An increase in CPI indicates rising inflation—which often leads the Federal Reserve to consider raising interest rates.
Why is it important?
A high CPI could mean interest rates will rise, which could pressure stock prices.
A low CPI indicates controlled inflation, which tends to be favored by the market.
What Are Jobless Claims?
Initial Jobless Claims are the number of new unemployment claims filed in a week. This data shows the real-time conditions of the labor market. If claims rise, it could be a sign of economic slowdown. Conversely, low claims indicate economic strength.
Why is it important?
High claims can lower interest rate expectations and signal recession risks.
Low claims indicate the economy remains strong, providing a boost to the market.