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Every Friday, Orca will feature an Emoji that relates to Finance, because what is better than having an excuse to use Emoji's. Emoji Finance © 2017 All rights reserved

Emoji Finance Friday©: Consumer Price Index

Lets us break this down 

1. Researchers are analyzing data 

2. They look at consumer good prices

3. Like Bread, Cars, Avocadoes, Jewelry, Sunglasses, and Houses

4. They analyze the change in price 

5. This all equals Consumer Price Index 

Now let piece this together, there are researchers that sit a look at good prices, such as bread, cars, avocado etc. All consumer good that we as a country purchase. Now, they look at the collective prices of these goods and compare them to last years prices of the same goods. This average difference equals the consumer price index. 

Why We Care

• Calculated every month 

• Expected to be 2% or below (economy is stable)

• Used by Presidents, Congress, and Federal Reserve Board to determine our fiscal policies 

• Represents inflation or deflation to analysis 

• This is what is used to determine “Fed Rate” 

• Helps us time the market and be strategic 

• Used to change your income form employers 

• Affects our Tax Rates 

Current CPI Environment

• January rose 0.6%

• That is the biggest month gain in 4 years

• With Trump’s economic policies still coming out, the CPI is going

Overall CPI is a vital measurement that sets the future of our economy up, it is truly the first domino in a succession of events that affect us. We here at Orca swim in anticipation for the monthly CPI to help us understand our economic climate. Stay tune with for updates as our economy changes with our new administrations. 

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