The latest survey of consumer expectations for inflation, conducted by the European Central Bank (ECB) on a monthly basis, reveals that “Eurozone consumers raised their inflation expectations in March.”

Additional takeaways

“Saw prices growing by 5.0% in the coming 12 months, up from 4.6% in the previous survey round in February.”

“It was the first increase in inflation expectations since the autumn.”

“Longer-term expectations also increased sharply, with inflation three years ahead now seen at 2.9% after a 2.4% reading a month earlier. “

Market reaction

EUR/USD is unable to find support from the above findings. The pair is currently trading at 1.0921, down 0.54% on the day.