Employment Cost Index consists of wages and unemployment benefits. It can serve as an indicator of the presence of inflationary processes in the economy. Employment Cost Index is one of the indicators which is closely observed by the Federal Reserve when determining its monetary policy (which is saying a lot).
With expectations of an increase in basic interest rates, the increase of the index leads to an increase in the rate of dollar. It is used for medium-and long-term forecasts.
- Release Frequency: quarterly.
- Release Schedule: 08:30 EST, after the 20th of the month of release.
- Source: Bureau of Labor Statistics.