Formal Definition
Two variables X and Y are conditionally independent given Z if:
"X is independent of Y given Z"
"Once we know Z, learning Y tells us nothing new about X"
X and Y are related when we don't know anything else.
Example: Knowing it's cloudy (Y) changes our belief about rain (X).
X and Y become independent once we know Z.
Example: If we know the forecast (Z), clouds (Y) don't add info about rain (X).
Intuitive Explanation
Conditional independence means: "Z screens off the relationship between X and Y." All the information that Y provides about X flows through Z. Once we know Z, Y becomes irrelevant for predicting X.