Michigan survey: consumers expect 4.7% inflation over next year

The more telling signal here is the jump in rate-rise expectations, not the marginal inflation uptick itself. Nearly 70% of consumers bracing for higher rates, the highest in over three years, points to a mindset that treats tighter policy as the base case rather than a risk — a shift that tends to feed through to borrowing, spending and risk appetite well before any actual policy move. For crypto and RWA markets, which have leaned on a rate-cut narrative, this is a headwind worth noting. Whether these expectations keep climbing or stabilize is the open question.