Canada Consumer Inflation Expectations, 5 Years

## What this measures

What Canadian consumers expect inflation to be five years ahead, from the Bank of Canada's quarterly Canadian Survey of Consumer Expectations.

## Why it matters

Long-run expectations measure the credibility of the 2% target itself.

## How to read it

Compare with actual inflation (canada.cpi.yoy) and the 2% target. Expectations that stay above target after inflation falls make the Bank of Canada slower to cut.

## What it does not say

It is a quarterly survey of about 2,000 people; answers are medians and can be noisy. It records beliefs, not forecasts the Bank endorses.

## Source

Bank of Canada, Valet API, series CES_C1_LONG_TERM ("5-year-ahead inflation expectations"). Palanor pulls it from the Bank's Valet service every weekday. Source: Bank of Canada. Content obtained from the Bank of Canada website; changes are noted where Palanor computes from it.