NY Fed: Year-ahead expected inflation drops to 3.8% in June, lowest since April 2021

Eren Sengezer FXStreet

The Federal Reserve Bank of New York's monthly Survey of Consumer Expectations showed on Monday that the US consumers' one-year inflation expectation dropped to the lowest level since April 2021 at 3.8% in June from 4.1% in May.

Key takeaways

"Three year-ahead expected inflation unchanged at 3% in June."

"Five-year ahead expected inflation at 3% in June vs 2.7% in May."

"June home price expectations rise to 2.9% vs May’s 2.6% expected gain."

"Home price expectations highest since July 2022."

"Expectations for gasoline prices fell in June."

"Perceptions of credit access improved in June."

"Households’ view on personal financial situations improved in June."

Market reaction

The US Dollar Index stays on the back foot in the American session and posts small daily losses below 102.20.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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