Searches for permanent electric-dipole moments (EDM) of atoms provide
important constraints on competing extensions to the standard model of
elementary particles. Recently proposed experiment with liquid 129Xe [M.V.
Romalis and M.P. Ledbetter, Phys. Rev. Lett. \textbf{87}, 067601 (2001)] may
significantly improve present limits on the EDMs. To interpret experimental
data in terms of CP-violating sources, one must relate measured atomic EDM to
various model interactions via electronic-structure calculations. Here we study
density dependence of atomic EDMs. The analysis is carried out in the framework
of the cell model of the liquid coupled with relativistic atomic-structure
calculations. We find that compared to an isolated atom, the EDM of an atom of
liquid Xe is suppressed by about 40%