Inflation has grabbed headlines since 2020, climbing to the top of the list of concerns for many households globally. But while consumers only notice inflation when it hurts their wallets, organizations like the Federal Reserve monitor it continuously.

Last month's CPI was forecast to come in at 2.7%, according to economists surveyed by financial data firm FactSet. The Consumer Price Index, a basket of goods and services typically bought by consumers, tracks the change in those prices over time.

One metric to watch in the CPI data is the year-over-year core CPI, which will play a key role in the outlook for Federal Reserve interest-rate policy, said Brett Kenwell, U.S. investment analyst at e Toro.