NY Fed Survey: Year-ahead spending growth expectations rose sharply in November to 3.7%

The Federal Reserve Bank of New York's latest Survey of Consumer Expectations showed year-ahead spending growth expectations rose to the highest level in more than four years at 3.7% in November.

Additional takeaways

"Median inflation expectations increased 0.2 percentage point in November to 3.0% at the one-year horizon and increased 0.1 percentage point to 2.8% at the three-year horizon."

"Median one-year ahead expected earnings growth remained flat in November at 2.0%, below its 2019 average level of 2.3%."

"Mean unemployment expectations (the mean probability that the unemployment rate will be higher one year from now) increased for the first time since July 2020, from 35.4% in October to 40.1% in November."

"The median expected household income growth stayed flat in November at 2.1%, well below its 2019 average of 2.8%."

Market reaction

This report doesn't seem to be impacting risk sentiment. As of writing, the S&P 500 ındex was up 0.55% on the day at 3,683.