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What is the impact of the consumer price index of Chuangfu Finance cf 1234.com on foreign exchange?
Consumer price index mainly reflects the price change of goods or services paid by consumers, that is, the change of inflation level. If CPI rises sharply, it will help interest rates rise in the short term, thus supporting a strong exchange rate; In the long run, it is essentially currency depreciation. The US Department of Labor publishes the consumer price index every month. It has two different consumer price indexes: one is the employee consumer price index, abbreviated as CPIW;; ; The other is urban consumer price index, or CPIU for short. Because the statistical range of CPIU index is twice that of CPIW, reflecting the consumer price is more referential, so it is highly valued by market participants.