NY Fed: Consumer outlook on longer-term inflation hit snag in February

The public’s expectations around the longer-run trajectory of inflation deteriorated in February, a report from the Federal Reserve Bank of New York said Monday. While inflation a year from now was seen holding steady at 3%, respondents to the bank’s latest Survey of Consumer Expectations said that they see inflation three years from now moving to 2.7% from January’s 2.4%, with inflation in five years at 2.9%, from the prior month’s 2.5%. The rise in the three-year expected rate of inflation was the first month-over-month gain since last September, while the month-over-month rise in the five year was the first since last August.