Broom? – Check. Rug? – Check
Last month, the measure of consumer inflation expectations rose to the highest since Jan 2014.
Consumer inflation expectations
The ECB has been at pains to note that they see this inflation as temporary but one thing they’ve dropped from the opening statement of previous ECB governing council meetings is language about inflation expectations remaining anchored. This is a big part of the ECB’s mandate and the only reference to it in the last two meetings was during question time, and that was mainly noting that market based expectations were anchored. Draghi even went so far as to explain the rise is survey inflation expectations as people seeing lower risk of deflation.