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Euro area inflation expectations during the COVID-19 pandemic
The COVID-19 pandemic was an unprecedented shock whose effects on inflation are uncertain because of both up and downward pressures on consumer prices interacting to different degrees throughout the pandemic crisis period. In addition, the massive economic policy stimulus as a response to the pandemic raises concerns of a possible surge in inflation with a more persistent nature. Against this background, monitoring inflation expectations is of utmost importance. This article seeks to analyse the behaviour of measures of inflation expectations for the euro area since the outbreak of the pandemic crisis by covering both market-based and survey indicators at different horizons.