The December Inflation Yield Curve Looks Promising

A blog about business and economics.
Dec. 17 2012 12:44 PM

The December Inflation Yield Curve Looks Promising

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The Cleveland Federal Reserve Bank updated its inflation expectations estimates on Friday, and I'd say it looks like mission accomplished for the Federal Open Market Committee. Relative to last month, short-term expectations are meaningfully higher, indicating a coordination of expectations along a higher demand equilibrium. But long-term expectations remain "anchored" exactly where they were.

Matthew Yglesias is the executive editor of Vox and author of The Rent Is Too Damn High.