The Consumer Price Index (CPI), released by the Reserve Bank of Australia and republished by the Australian Bureau of Statistics, measures price movements by comparing the retail prices of a representative shopping basket of goods and services. Inflation drags down the purchasing power of the Australian dollar. The CPI is a key indicator for inflation and changes in purchasing trends.
A high CPI reading is positive or bullish for the Australian dollar.
A low CPI reading is negative or bearish for the Australian dollar.
