U.S. inflation expectations retreat in September: NY Fed survey

October 11, 2016 11:01 AM EDT

A customer counts his U.S. dollar money in a bank in Cairo, Egypt March 10, 2016. E REUTERS/Amr Abdallah Dalsh/File Photo


Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.

NEW YORK (Reuters) - Two measures of U.S. inflation expectations fell in September, with one hitting a low water mark, according to a Federal Reserve Bank of New York survey that also found Americans predicted less earnings growth in the year ahead.

The survey of consumer expectations, an increasingly influential gauge of prices for the U.S. central bank, found that median year-ahead inflation expectations tumbled to 2.5 percent last month, its lowest recorded level, from 2.8 percent in August.

Three-year ahead expectations slid to 2.6 percent, from 2.7 percent, to near a record low. Both of the price measures have been gradually declining since the online survey began in mid-2013.

Other national price measures have edged higher in recent months, though inflation remains below a Fed target. The Fed, looking to raise interest rates before year end, wants to see signs of inflation pressures before acting.

The New York Fed survey, in which an outside group taps a rotating sample of 1,200 households, also found that median one-year ahead earnings growth decreased to 2.0 percent last month, from 2.4 percent in August.

(Reporting by Jonathan Spicer; Editing by Meredith Mazzilli)



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In






Related Categories

Economic Data, General News, Reuters

Related Entities

Earnings

Add Your Comment