Americans' expectations for inflation are tumbling again
One of the biggest concerns for the Fed as they decide whether or not to raise interest rates this year is expected inflation. While prices and wages have been pretty stable over the last few years, if consumers and investors think the inflation rate will rise in the near future, the Fed might consider raising interest rates in response.
However, consumers don't see that happening just yet.
One of the questions on the New York Fed's Survey of Consumer Expectations asks respondents what they think inflation will look like in the near future.
The median consumer's expectation for inflation in the next year has been dropping for the last few months. In September, the median consumer expected prices to be just 2.73% higher in the next year, tied with April 2015 as the lowest expected inflation rate in the survey's two year history.
NOW WATCH: How to use math to win at Monopoly
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- Colon cancer rates are rising in young people. If you have two symptoms you should get a colonoscopy, a GI oncologist says.
- Saudi Arabia wants China to help fund its struggling $500 billion Neom megaproject. Investors may not be too excited.
- Catan adds climate change to the latest edition of the world-famous board game
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- JNK India IPO allotment – How to check allotment, GMP, listing date and more
- Indian Army unveils selfie point at Hombotingla Pass ahead of 25th anniversary of Kargil Vijay Diwas