US Consumers Confident that Inflation Will Pick Up
Arslan Butt • 1 min read
Data released by the New York Fed’s Survey of Consumer Expectations on Monday reveals that consumers’ outlook for inflation picked up in June, with the one-year inflation outlook climbing 0.2% higher to touch 2.7%. Three-year inflation expectations also rose to 2.7% after May’s levels touched the lowest readings since 2017.
US consumers also expressed more optimism about their personal finances in June, with higher confidence about wage growth and keeping their jobs intact. They also expressed a lower chance of missing payment on debts.
However, only 39% of US consumers surveyed saw stock prices climbing higher in this year. This is the lowest figure for this reading since 2016.
Last week’s NFP report also offers some support to the US consumer confidence, work jobs growing by 224k during June. Although, wake growth remained moderate while unemployment ticked 3.7%, pointing to signs that all is not well yet in the US economy.