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Americans see less inflationary pressure - NY Fed survey

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Reuters NEW YORK
Last Updated : Sep 14 2015 | 9:22 PM IST

NEW YORK (Reuters) - Americans predicted lower inflation last month, according to a Federal Reserve Bank of New York survey published as Fed policymakers prepare to decide whether the U.S. economy is ready for tighter monetary policy.

The New York Fed's survey of consumer expectations, released on Monday, found that median expectations of inflation three years in the future fell to a record low of 2.87 percent from 2.96 percent the previous month. The one-year expectation was also down, to 2.79 percent from 2.96 percent.

Both price measures have edged lower since the survey began in mid-2013, reflecting broader data showing spot U.S. inflation has remained below the Fed's 2 percent target.

The central bank wants to be reasonably confident that prices will rebound in order to hike interest rates, a move that could come as soon as Thursday.

The survey taps about 1,200 respondents on a 12-month rotating basis.

(Reporting by Jonathan Spicer; Editing by Lisa Von Ahn)

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First Published: Sep 14 2015 | 9:01 PM IST

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