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Market Update: US Inflation Expectations at Record Levels
Median year-ahead inflation expectations in the US jumped for the 7th straight month to a new record high of 4 percent in May of 2021. Expectations also went up for home price and rent price changes, earnings, income, and spending growth. Meanwhile, median inflation expectations at the three-year horizon increased to 3.6 percent from 3.1 percent, the second-highest level ever. The increase at both horizons is particularly pronounced among respondents age 60 and over and among those with a high school degree or less. source: Federal Reserve Bank of New York [/s2If]
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