• The Harmonized Consumer Price Index (HICP) is a measure of inflation in the Eurozone and the European Union.

  • HICP tracks consumer price inflation based on consumer spending patterns in each EU country, weighted according to that country’s share of total consumer spending.
  • The most important HICP measure for financial markets is Monetary Union’s Monetary Union Consumer Price Index, which reflects inflation on a monthly basis, which includes the 19 EU countries that use the euro currency.
  • The ECB is using the MUICP to calibrate its pursuit of price stability, aiming for 2% inflation over the medium term.