The Producer Price Index determines the inflation rate, that is, the rate of change in prices that industrialists experience when they purchase goods and services. When industrialists pay more for goods and services, higher costs are more likely to be passed on to consumers, so the PPI is thought to be a leading indicator of consumer inflation. The bullish trend a positive impact on the country's currency. The Producer Price Index is taken into account to a greater extent, and when it reaches peak readings its impact on the market is equal to that of the Consumer Price Index.
