www.ecb.europa.eu
4 April 2023
- consumer inflation expectations declined further;
- expectations for nominal income growth over the next 12 months edged down slightly, while expectations for nominal spending growth edged up;
- expectations for economic growth over the next 12 months became less negative and expectations for the unemployment rate in 12 months’ time decreased;
- consumers’ expectations for growth in the price of their home over the next 12 months and for mortgage interest rates 12 months ahead increased slightly.
Inflation
The median rate of perceived inflation over the previous 12 months declined further to 8.7% in February 2023, from 9.5% in January. Median expectations for inflation over the next 12 months continued to decline, moving down from 4.9% in January to 4.6%. Expectations for inflation three years ahead edged down from 2.5% to 2.4%. Inflation expectations remained well below the perceived past inflation rate, particularly at the horizon of three years….