An economic indicator is a piece of economic data, usually of macroeconomic scale, that is used by analysts to interpret current or future investment possibilities. These indicators also help to judge the overall health of an economy.
Economic indicators can be anything the investor chooses, but specific pieces of data released by the government and non-profit organizations have become widely followed. Such indicators include but aren’t limited to:
- The Consumer Price Index (CPI)
- Gross domestic product (GDP)
- Unemployment figures
- Price of crude oil