Report says US considering inflation gauge change

The US Bureau of Labor Statistics is contemplating a change in the consumer price index that may have an impact on how markets and policymakers interpret inflation data, the Wall Street Journal reported on Monday 14 August, citing a government official.

The Bureau of Labor Statistics is considering publishing the index and its sub-indexes to three decimal places instead of one, which would greatly reduce the frequency with which rounding produces a misleading inflation rate, the report said.