www.ecb.europa.eu
8 August 2023
- consumer inflation expectations decreased both for the next 12 months and for the three years ahead;
- expectations for nominal income growth over the next 12 months remained unchanged, while expectations for nominal spending growth declined further;
- expectations for economic growth over the next 12 months became slightly less negative, while the expected unemployment rate in 12 months’ time was unchanged;
- expectations for growth in the price of homes over the next 12 months remained unchanged, while expectations for mortgage interest rates 12 months ahead decreased slightly.
Inflation
The median rate of perceived inflation over the previous 12 months was unchanged at 8.0%. However, median expectations for inflation over the next 12 months decreased further to 3.4%, from 3.9% in May, and those for inflation three years ahead also declined, easing to 2.3% from 2.5% in May. Having fallen in the previous two months, uncertainty about inflation expectations…