AI Data Insight
According to the latest authoritative data, the US University of Michigan 1-year inflation expectation for May 2026 fell to 4.5% from the previous value of 4.8%. Despite a slight decline in short-term expectations, consumer concerns over long-term inflation remain undiminished due to oil prices being pushed up by the war in the Middle East, leading the market to expect that the Federal Reserve is unlikely to initiate interest rate cuts in the short term.