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US Consumers’ Year-Ahead Inflation Views Drop to Lowest Since April 2021
US short-term inflation expectations fell in early January to the lowest in nearly two years, providing a bigger-than-expected boost to consumer sentiment. Respondents said they expect prices to advance 4% over the next year, the lowest since April 2021, the University of Michigan’s preliminary survey reading showed Friday. The sentiment index rose to a nine-month high of 64.6 from 59.7 at the end of the year, beating all estimates in a Bloomberg survey of economists. Consumers expect inflation to rise 3% over the next five to ten years, a slight uptick from the prior month. The Federal Reserve watches long-term ... (full story)