Bank of America survey: If PCE exceeds 3%, it may trigger a rate hike by the Federal Reserve

ChainCatcher news, according to Jinshi reports, in a foreign exchange and interest rate sentiment survey conducted by American Bank in February, the majority of respondents (58%) believe that if the U.S. PCE inflation rate exceeds 3%, it could prompt the Federal Reserve to raise interest rates. The PCE index is the Federal Reserve's preferred inflation measure.

The survey also showed that 12% of respondents believe that if the 5-year/5-year inflation breakeven (based on market inflation expectations) is above 3%, it could become a trigger for interest rate hikes.