U.S. Consumer Inflation Expectations Drop in New York Fed Survey
- Top-earning, most-educated saw record-low price expectations
- Evans worries low expectations may keep inflation below target
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U.S. household expectations for inflation in three years’ time fell last month, according to a Federal Reserve Bank of New York survey, while views on future spending bounced back.
The survey showed expected inflation of 2.62 percent three years ahead in September, according to the median response, down from 2.71 percent the month before, according to New York Fed data published Tuesday. The latest update brings expectations closer to the 2.45 percent reading in January that marked the lowest level in the survey’s three-year history.