One of the questions on theNew York Fed’s Survey of Consumer Expectationsasks respondents what they think inflation will look like in the near future.
The median consumer’s expected one-year ahead inflation rate has been on a mostly downward trend since the New York Fed began the survey in June 2013. In February, however, there was a spike upward in this measure: The median consumer expected an inflation rate of 2.71% over the next year.
In March, however, respondents’ views of inflation fell back to earth. The median consumer expected just 2.53% inflation over the next year, the second lowest reading since the New York Fed began the survey in June 2013.