NY Fed: One-year consumer inflation expectation declines to 5% in December

The Federal Reserve Bank of New York’s monthly Survey of Consumer Expectations showed on Monday that the US consumers’ one-year inflation expectation declined to 5% in December from 5.2% in October.

Further details of the publication showed that the three-year ahead expected inflation remained unchanged at 3% and the five-year ahead expected inflation edged higher to 2.4% from 2.3%.

“The median expected growth in household income rose by 0.1 percentage point to 4.6% in December, a new series high,” the NY Fed noted in its publication. “Median household spending growth expectations fell sharply to 5.9% from 6.9% in November. The decline was broad based across age and income groups.”