As per indications, the currently elevated level of the wholesale price index may start moderating noticeably as monetary, fiscal, and administrative measures impact the economy, while other seasonal as well as global factors turn favorable.
As an empirical matter, the little information available on the longer-term inflation expectations of firms from the Atlanta Federal Reserve Business Inflation Expectations survey suggests that firms’ expectations more closely resemble expectations from the University of Michigan Surveys of Consumers than the expectations of professional forecasters.