Consumer “Inflation Expectations” Throw the Fed another Curveball

The Fed watches inflation expectations closely. It wants them to remain “anchored.” But consumer inflation expectations have become unanchored. By Wolf Richter for WOLF STREET. Metrics of “Inflation expectations” are based on financial market spreads, such as the spread between the 10-year Treasury yield and the 10-year TIPS yield, or on surveys, such as the New York Fed’s [...] The post Consumer “Inflation Expectations” Throw the Fed another Curveball appeared first on CBNC .