Consumer expectations of credit improve, New York Fed says

Expectations of credit access among U.S. consumers improved in recent months even as their predictions for inflation held steady, according to a survey by the Federal Reserve Bank of New York. More

To continue reading this article, please do one of the following.



economic indicators

Consumer expectations of credit improve, New York Fed says

Posted 1/13/14

NEW YORK – Expectations of credit access among U.S. consumers improved in recent months even as their predictions for inflation held steady, according to a survey by the Federal Reserve Bank of New York.

“Perceptions of current credit access relative to a year ago and future credit access relative to today have slightly improved in the last month, reversing a modest deterioration from September to November,” the Fed district bank said today in a statement.

Consumers’ inflation expectations varied little from June until December, the New York Fed said. The median prediction for one-year ahead inflation was 3.1 percent last month, more than triple the 0.9 percent rate in the 12-month period ended in November as measured by the personal consumption expenditures price index. The Fed has set an inflation target of 2 percent.

Households’ outlook for greater credit availability and faster price acceleration bolsters the case for the Fed to continue tapering stimulus. Policy makers last month voted to cut their monthly bond purchases to $75 billion from $85 billion, citing improvement in the job market.

Fed officials saw declining economic gains from bond buying and voiced concern about future risks to financial market stability, according to minutes of the Dec. 17-18 meeting by the Federal Open Market Committee released last week.

Income growth expectations were little changed at about 2 percent and the mean likelihood of finding a job within three months - if one were to lose one’s job - was steady at 46 percent, the survey showed.

The odds of not being able to make a minimum debt payment in the next three months was 14.9 percent in December, down from 17.2 percent in September, the New York Fed said.

The survey is conducted with a nationally representative rotating panel of about 1,200 household heads, the district bank said. The New York Fed said it plans to release survey results on the second Monday of each month.

Calendar
PBN Hosted
Events

Please join PBN on September 10th for the 3rd Annual Fastest Growing & Innovative Companies program at Rosecliff Mansion in Newport. Seating is limited so be sure to register early.
Advertisement
Purchase Data
Book of Lists
Lists
Book of Lists cover
PBN's annual Book of Lists has been an essential resource for the local business community for almost 30 years. The Book of Lists features a wealth of company rankings from a variety of fields and industries, including banking, health care, real estate, law, hospitality, education, not-for-profits, technology and many more.
Data icons
Data can be purchased as single lists, in either Excel or PDF format; the entire database of the published book, in Excel format; or a printed copy of the Book of Lists.
  • Purchase an e-File of a single list
  •  
  • Purchase an e-File of the entire Book of Lists database
  •  
  • Purchase a printed copy of the Book of Lists
  •  
    National
    Local
    Latest News
    Advertisement