The inflation rate represents the rate of change in prices over a given period. Two primary U.S. indicators of the inflation rate are the Consumer Price Index (CPI) and the Producer Price Index (PPI), which track changes in prices paid by consumers and producers, respectively.
The Personal Consumption Expenditures Price Index (PCEPI) is a U.S. economic indicator that measures the average increase in prices for all domestic personal consumption. This index is based on data from sources such as the Consumer Price Index and Producer Price Index, and it is indexed to a base value of 100 in 2005.
The Producer Price Index (PPI) measures wholesale prices across various stages of production and distribution before goods and services reach the consumer market. It is released monthly by the U.S. Bureau of Labor Statistics.
The rate of inflation measures the percentage change in the price level of goods and services over a period, indicating how much prices have increased or decreased, reflecting the economy's health.
The Wholesale Price Index (WPI) measures and tracks the changes in the price of goods in the wholesale market, or in other words, the price of goods that are sold in bulk, or wholesale, typically to retailers.
