Eurozone consumer expectations for inflation at 3.5% in May

Median consumer expectations for inflation in the euro zone over the next 12 months fell from 4.0% in April to 3.5% in May, while the median perceived inflation rate over the last 12 months remained unchanged at 4.0%, according to a monthly survey released by the ECB (European Central Bank) this Friday (26).

For the three-year horizon, inflation projections remained stable at 2.9%, as did expectations for the next five years, maintained at 2.4%, the survey shows.

Uncertainty regarding expected inflation for the next 12 months decreased, but remained above the level observed before the start of the war in the Middle East.

The ECB also highlighted that expectations for growth in nominal income over the next 12 months increased from 0.8% in April to 1.0% in May, while projections for growth in nominal expenditure fell from 4.3% to 3.8%.

In turn, expectations for economic growth over the next 12 months became less negative and went from -2.2% in April to -1.7% in May.

The expectation for the unemployment rate in 12 months rose marginally, from 11.2% to 11.3%.

The survey was carried out between May 7 and June 1, 2026 with 19 thousand adult consumers from 11 countries in the euro zone.

Source: CNN