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Business Inflation Expectations Drop To Lowest Since April 2021 - Atlanta Fed

US DATA
  • Firms' year-ahead inflation expectations “significantly decreased” from 2.8% to 2.5%, on average, vs the 2019 average of 1.9%.
  • It’s the lowest level since Apr’21, just like with the U.Mich consumer survey for Aug and NY Fed consumer survey for July, and compares to the 2019 average of 1.9%.
  • Year-ahead unit cost expectations generally saw some improvement compared to July’s report. There was a small increase of the share expecting unit costs to be lower (7%) or unchanged (15%). “Up significantly” (32%) led with an unchanged share, but there were declines for “up somewhat” (31%) and “up very significantly” (12%) with the latter the lowest since at least February.

Source: Atlanta Fed

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