Inflation Expectations Hold Steady as Job Worries Rise

US consumer inflation expectations remain steady at 3.6% over one year and 3% for five years, according to the latest Survey of Consumer Expectations from the New York Federal Reserve.

The survey also showed that consumers expect gasoline prices to rise in the next year, putting further pressure on household budgets if fuel costs continue to increase.

However, employment expectations have taken a turn for the worse, with consumers now expecting a higher unemployment rate one year from now than previously thought. This marks the highest level since April 2020, when the COVID-19 pandemic caused widespread job losses.

The rise in unemployment concerns is broad-based and affects different age groups, income levels, and education categories, suggesting that worries about the job market are not limited to a specific group of Americans.