Stock Market Gyan 6 : - What is WPI (Wholesale Price Index)?

Common man buys goods / commodities from the end shop, end shop buys from dealers and dealers buy from companies / large dealers.  So we have two prices here whole sale price and consumer price.

Consumer price is the price which the end consumer pays on the shop and whole sale price is the price between dealers / companies when they do bulk buying.
WPI is nothing but the whole sale price of more than 676 commodities. So if the price between dealers rises the products will be available at a higher rate to the end consumer. In short WPI should decrease so that end users get goods at lesser rates and thus making economy healthy.

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