RMPI stands for Raw Materials Price Index and this indicator is released by Statistics Canada as well. It is important in the sense that, like the Australian economy, Canadian economy is linked to everything is happening on the commodity/raw materials side of things.
RMPI shows the change in the price of raw materials purchased by manufacturers and it is important because it’s a leading indicator of consumer inflation, meaning when manufacturers pay more for goods, the higher costs are usually passed on to the consumer.
The most important things to take into consideration when looking at the RMPI indicator in Canada are the following:
- release date: monthly, about 30 days after the month ends;
- release time: 12:30 GMT, during the North American trading session;
- actual> forecast = positive for currency;
- actual < forecast = negative for currency;
- second tier data;
- low volatility expected.