Import And Export Price Indexes (MXP)

  

Categories: International, Metrics

Import and export price indexes are created and updated by the International Price Program (IPP), a program created by the U.S.’s Bureau of Labor Statistics. Import and export price indexes track the prices of U.S. goods being sold outside the U.S. (exports) and foreign goods being sold into the U.S. (imports).

Import and export price indexes show the change in prices of U.S. imports and exports. They’re used to see the changes in prices of these goods over time, but also as a way to predict possible inflation as it relates to U.S. trade, and study global price trends in various industries.

Who pays attention to import and export price indexes? Investors in bond markets. Bonds often go on sale when importing inflation goes up, which makes the principal worth less. Not "worthless," just...worth less.

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