The Federal Reserve Bank of New York’s Center for Microeconomic Data released the August 2023 Survey of Consumer Expectations, which shows that inflation expectations were largely stable, rising slightly at the short- and longer-term horizons and falling slightly at the medium-term horizon. Income growth perceptions declined in August, and job loss expectations rose sharply to the highest level since April 2021. Perceptions about current credit conditions and expectations about future conditions both deteriorated. Households’ perceptions about their current financial situations and expectations for the future also deteriorated.
The main findings from the August 2023 survey are:
Inflation
Median one- and five-year-ahead inflation expectations rose slightly in August, both increasing by 0.1 percentage point to 3.6 percent and 3.0 percent, respectively. Conversely, three