Survey data showing this comes after the monetary authority slowed the pace of its rate hikes last week while indicating that it’s still early for a pause.Europeans believe inflation will be around 5% over the next 12 months with their median expectations rising “significantly” in March from 4.6% in February, the European Central Bank announced on Thursday, quoting its latest Consumer Expectations Survey .to raise interest rates by 25 basis points last week.
At the same time, consumers expected their nominal income to increase by 1.3% over the next 12 months, compared to 1.2% in the previous survey. Expectations for nominal spending growth over the next year increased to 4.1%, from 3.9% in February.