While University of Michigan confidence slipped modestly from December’s print, the tumble in expectations (hope) from the preliminary print is perhaps more important as stocks dropped and volatility struck. However, more problematic for an inflation-hoping Federal Reserve is the drop in 12-month inflation expectations.
The last time inflation expectations were lower than this was September 2010.. when Bernanke hinted at QE2 at jackson Hole.
via Zero Hedge http://ift.tt/1SopcvA Tyler Durden