US Consumer Inflation Expectations Jump to 3.9%, Highest Since May 2023

US median 1-year inflation expectations rose 0.3 percentage points in September to 3.9%, marking the highest level since May 2023 and extending a 22-month stretch above 3.0%. Consumers expect gasoline +4.8%, food +5.5%, medical costs +9.2%, college tuition +7.5%, and rent +6.8% over the next year. 3-year expectations also climbed to 3.3%. This signals persistent inflation concerns that could influence Fed policy calibration and support USD through rate expectations.