Inflation Expectations Fall to 5-Month Low as Household Confidence Rebounds

The New York Fed survey shows that Americans have become more optimistic about jobs and finances, while inflation fears have eased.

People shop at a grocery store in New York City on March 12, 2025. Samira Bouaou/The Epoch Times

Near-term inflation expectations declined in June while Americans reported greater confidence about their finances and job prospects, according to a new report from the Federal Reserve Bank of New York.

The New York Fed’s Survey of Consumer Expectations, released on July 8, showed median inflation expectations fell by 0.2 percentage point to 3.0 percent for the year ahead. Expectations for inflation three years out remained at 3.0 percent, while five-year expectations held at 2.6 percent.