# Interpretation of point-biserial correlation

How can I interpret point-biserial correlation? If the results give me a positive and significant correlation, how should I interpret it? Should I say that the variable category that I coded 1 is positively correlated with the outcome variable?

For the most part, you can interpret the point-biserial correlation as you would a normal correlation. I wouldn't quite say "the variable category that I coded 1 is positively correlated with the outcome variable", though, because the correlation is a relationship that exists between both levels of the categorical variable and all values of the continuous one. Instead, if the correlation is positive, I would say that means moving from the $0$ category to the $1$ category is associated with an increase in $Y$, and/or higher $Y$ values tend to co-occur with category $1$. A negative correlation would be the opposite of that. The fact that the correlation is significant implies that you are unlikely to find a correlation (i.e., $\hat r_{p.b.}$) that far (or further) from $\hat r_{p.b.} = 0$, if there were actually no relationship.