UK public's inflation expectations surge in March - Citi/YouGov survey

Dhwani Mehta FXStreet

The latest survey from Citi bank and polling firm YouGov showed on Monday, the UK households’ inflation expectations in the year ahead rose sharply after the pound slumped due to the coronavirus crisis in the country.

Key findings

“Inflation expectations for the next 12 months shot up to 3.2% from 2.3% in February, the highest level since August last year.

Unusually, this was despite a sharp reduction in oil prices.

With short-run expectations also contradicting many – including our own – expectations that inflation is now likely to fall, sharp adjustments in inflation expectations may be necessary over the coming months.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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