As the economy quickly picks up steam in the wake of the Covid pandemic, Americans expect inflation to jump in the months ahead. Overall, the expectat

Americans' inflation fears reach a fever pitch as consumer prices rise

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2021-06-14 21:30:03

As the economy quickly picks up steam in the wake of the Covid pandemic, Americans expect inflation to jump in the months ahead.

Overall, the expectation is that the inflation rate will be up to 4% one year from now — a new high for one-year-ahead inflation expectations — and at 3.6% three years from now, the highest level since August 2013, according to the Federal Reserve Bank of New York's Survey of Consumer Expectations for May.

Expectations for how much more consumers will spend on homes, food, rent, gas and the cost of a college education all rose in the most recent report.

At the same time, consumers surveyed by the New York Fed also expected household income and spending to increase, particularly among households with annual income of more than $100,000, the central bank said.

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