N.Y. Fed: Consumers’ Expectations Improve Slightly but Remain Weak

In August, 2020, the Federal Reserve Bank of New York’s Center for Microeconomic Data released its Survey of Consumer Expectations. The results of this survey showed a continued decline in pessimism about households’ financial situation, according to a Sept. 14 New York Fed press release.

Home price growth expectations also returned to levels close to 2019, while delinquency expectations stayed low. Year-ahead spending, household income and labor market expectations, however, all remained weak compared to the pre-COVID-19 period. Additionally, medium inflation expectations rose at both the short and medium-term horizons, while uncertainty and disagreement about future inflation remained high.

Listed below are the main findings from the August New York Fed survey.

Inflation

M…