In East Timor, the inflation rate measures a broad rise or fall in prices that consumers pay for a standard basket of goods. The most important category in the Timor-Leste CPI is Food and Non-Alcoholic Beverages (64 percent of the total weight), of which Rice (17 percent), Vegetables (15 percent) and Meat (8 percent). Other important categories are: Transport (6 percent); Clothing and Footwear (6 percent); Housing (6 percent); Alcohol and Tobacco (5 percent); and Furnishings, Household Equipment and Routine Household Maintenance (4 percent). The index also includes: Recreation and Culture (3 percent); Communication (2 percent); Education (2 percent); and Health (1 percent).
A higher than expected figure should be seen as positive (bullish) for the USD while a lower than expected figure should be seen as negative (bearish) for the USD.