Why Household Inflation Expectations Matter More Than CPI Now

Episode 40 of Economic Indicators with Fexingo digs into the New York Fed's latest Survey of Consumer Expectations, which shows household worries over finances hitting their highest level since July 2022. Lucas and Luna explain why inflation expectations among consumers now diverge from official CPI data, and why that gap matters for the Fed's next move. They connect the survey to real GDP growth of just 1.6 percent and the 10-year breakeven inflation rate dipping to 2.35 percent. The hosts explore how sticky wage expectations and higher long-run inflation views could keep the Fed on hold through summer 2026. A focused conversation on the psychology of inflation and its real economic consequences. #InflationExpectations #NewYorkFed #ConsumerSurvey #HouseholdFinances #CPI #FedPolicy #MacroData #EconomicIndicators #RealGDP #BreakevenInflation #WageGrowth #MonetaryPolicy #ConsumerConfidence #InflationPsychology #Economics #Business #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo