Economic Indicators
Track macroeconomic data to understand market trends
Why Economic Indicators Matter
GDP Growth
Gross Domestic Product measures the total value of goods and services produced. Rising GDP indicates a growing economy, which typically supports higher corporate earnings.
Inflation (CPI)
The Consumer Price Index tracks changes in the cost of living. Moderate inflation is normal, but high inflation erodes purchasing power and may prompt central banks to raise interest rates.
Interest Rates
The Federal Funds Rate influences borrowing costs. Higher rates make bonds more attractive relative to stocks and increase the discount rate used in DCF valuations.
Unemployment
The unemployment rate reflects labor market health. Low unemployment supports consumer spending, which drives approximately 70% of US GDP.