Americans' short-term inflation expectations fall to lowest level since April 2021

ISTANBUL

American consumers' short-term inflation expectations fell in November to the lowest level since April 2021, according to a survey released Monday by the Federal Reserve Bank of New York.

The median one-year-ahead inflation expectation slightly decreased by 0.2 percentage point to 3.4% last month from 3.6% in October, the survey showed.

"Median inflation expectations at the three- and five-year ahead horizons remained unchanged at 3.0% and 2.7%, respectively," the bank said in its report.

Median one-year-ahead expected earnings growth decreased by 0.1 percentage point to 2.7% in November from 2.8% in October, according to the survey.

However, median home price growth expectations were unchanged for the second consecutive month to remain at 3.0%.

After soaring to 9.1% in June last year, its highest in more than 40 years, annual US consumer inflation dropped to 3% this June but climbed up to 3.7% in September before coming in at 3.2% in October.