Economic Indicators

Economic indicators are a large set of reports that are released weekly or monthly by many different sources from universities to the Federal government. Indicators such as the Consumer Price Index and the Gross Domestic Product are eagerly anticipated reports and are popularly followed by other agencies, government sources and investors.

Major Indicators

The Consumer Confidence Index is one of the standard reports. The monthly release is based on a consumer survey in which the health of consumer spending, jobs and income is based. Most advisors recommend using the information over a period of time to indicate spending and economic trends, as opposed to digesting the information on a monthly basis.

The Consumer Price Index is released by the Bureau of Labor and Statistics on a monthly basis. This report is one that most financial experts suggest that everyone follows. The Consumer Price Index is an instrument that is relative to what exactly consumers have bought and paid for during the month, literally all goods and services. The CPI is a good general tool for economists and investors who are interested in inflation and spending trends relative to the stock market and other investments.

While the Consumer Confidence Index and the Consumer Price Index highlight the economy more from the consumer point of view, the Gross Domestic Product report is directly relative to the country’s total economic overview. The GDP report is released quarterly by the Commerce Department and is eagerly awaited by many economists and investors.

Market Indicators

Market indicators are different from economic indicators in that they are the reports that are directly relative to the stock markets’ and stock indices’ activity. Market indicators such as High/Low reports, Support and Resistance Levels, and Moving Averages are all types of market and technical indicators that investors and advisors utilize.

High/Low reports are useful for tracking a stock’s high value and low value within a given amount of time. The Support and Resistance Levels are those highs and lows that the market is most able to bear before resisting. Moving Averages is a report that gives the closing averages for stocks over a certain time frame, a useful technical indicator for many investors. The Comparative Strength Index is a report generated that analyzes various stock market indices.

contact@investingdiscussion.com