The primary goal of the ECB is to maintain price stability, defined as keeping the year on year increase HICP below but close to 2 percent for the medium term. In order to do that, the ECB can control the short-term interest rate through Eonia, the European overnight index average, which affects market expectations. The HICP is also used to assess the convergence criteria on inflation which countries must fulfill in order to adopt the euro. In the United Kingdom, the HICP is called the CPI and is used to set the inflation target of the Bank of England.
Consumer price inflation in the euro area is measured by the Harmonised Index of Consumer Prices (HICP). The HICP is compiled by Eurostat and the national statistical institutes in accordance with harmonized statistical methods.
Key Features and Coverage on RIMES
For this data source, RIMES hosts approximately 8 indices and 32 currencies and 1 money market (Pre-Euro Short Term Rate):
- Refinancing Operations Fixed Rate Tenders
- Harmonised Index of Consumer Prices (HICP) – an indicator of inflation and price stability for the European Central Bank (ECB).
- AAA Par and Spot Curves
Available data items include Series Value, Total Return, Last Price Date, Price Index, Yields, etc.
