Economies

The Consumer Price Index (CPI) is a statistic derived and used around the globe to identify prevailing inflationary or deflationary pressures. It is calculated by averaging the prices of a basket of select goods and services commonly consumed by households.

Probably no other American president has expressed so much public displeasure with his own choice to head the U.S. Federal Reserve as has Donald Trump with Jerome Powell. It actually reached the point that much speculation has arisen as to whether or not he can fire the Fed chair if he wishes. The quick answer seems to be no, but there may be some highly political and difficult means for…

Since its creation in 1973 by the Fed, the trade-weighted U.S. dollar index has been used to track the dollar's value against the currencies of major American trading partners.

The Commodity Futures Trading Commission (CFTC) is an independent agency of the U.S. federal government. It regulates the futures, options, derivatives and swaps markets. Learn more about how the CFTC functions at FXCM.

There is an important difference between "on-the-run" and "off-the-run" securities that goes beyond distinguishing between newer and older issues. Learn more about these securities at FXCM Insights.

Ralph Nelson Elliott developed Wave Theory in the early 20th century through a study of stock data sets. Elliott Wave Theory alludes to price being fractal waves, each a product of investor psychology.

The evolution of the financial markets has created an assortment of new questions and challenges for participants. While the core business of an active trader is to buy and sell securities, in recent years the issue of systemic risk has come to the forefront. Whether in the trade of currencies, futures or equities, dramatic volatilities often appear out of nowhere. In the world's capital markets, volatility plays an ever-present role…

The Volcker rule was implemented in the U.S. in 2013, and was designed as a way to avoid another financial crisis. The rule restricts American banks and foreign banks doing business in the U.S. from specific financial activity. Learn how it works at FXCM.

The Taylor rule was developed to provide guidance to central banks, such as the U.S. Federal Reserve, for setting short-term interest rates based on economic conditions, including inflation and the unemployment rate. Learn more about the rule at FXCM.

Black Monday occurred on 19 October 1987. It represents the largest one day sell off in the history of the U.S. equities markets, led by losses in the DJIA and the S&P 500.