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Americans' inflation expectations dropped again in August, New York Fed says
Fed is slowing economy by decelerating hiring: Apollo Global Management chief economist
Apollo Global Management chief economist Torsten Slok analyzes the U.S. economy as the Federal Reserve tries to bolster the alleviation of inflation rates, on ‘Barron’s Roundtable.’
Consumer expectations for where inflation will be one year from now fell again in August, according to a key Federal Reserve Bank of New York survey published Monday, a potentially reassuring sign for the U.S. central bank as it tries to cool surging prices.
The median expectation is that the inflation rate will be up 5.7% one year from now, a marked decline from 6.2% recorded in June, according to the New York Federal Reserve's Survey of Consumer Expectations. Three years from now, consumers see inflation cooling off slightly to 2.8% – down from the 3.2% recorded last month.
Consumers anticipate that prices will drop even further over the next five years, projecting that the inflation rate will hover around 2% in 2027.
"Median inflation uncertainty—or the uncertainty expressed regarding future inflation outcomes—decreased at the short-term horizon and was unchanged at the medium-term horizon," the survey said.
INFLATION NOW CAUSING FINANCIAL PAIN FOR MOST AMERICANS, SURVEY SHOWS