The Atlanta Fed Business Inflation Expectations measure for May was “essentially unchanged” at 1.5% after 1.4% in April.
Inflation expectations have moderated — both for businesses and consumers — in part on the steep drop in energy prices but also due to the response to the COVID-19 pandemic which has impaired normal underlying movements that affect prices.
Addendum: Powell later said that negative rates were off the table as a tool of monetary policy.
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