a gauge of us inflation expectations for the next five years has soared to its highest level in more than 16 years as investors factor in an increasing likelihood that price pressures will linger into next year   the 5year breakeven inflation rate was at 277 as of wednesday based on data from the federal reserve bank of st louis that’s the highest level since april 2005 and up from a pandemic low of 016 in march 2020  traders and investors are focusing on inflation pressures in the runup to the federal reserve’s nov 23 meeting in washington because of the likelihood that incoming inflation readings will drift higher for the next few months the consumer price index has risen by 5 or more on a yearoveryear basis for five straight months but seasonal adjustments to the september data may have made the 54 yearly pace appear lower than would otherwise be the case  “accelerating inflation is likely to force the fed to raise rates aggressively” next year said jay hatfield founder and portfolio manager at infrastructure capital advisors in new york hatfield said his firm sees a 50 chance of a recession in 2022 and he expects to see high singledigit percentage increases in cpi readings through next year   rob daly director of fixedincome at glenmede investment management in philadelphia says he’s considering the possibility that inflation turns out to be “durable” but not necessarily “punitive” on thursday major us stock indexes were consolidating after rallying earlier this week the sp 500 spx briefly traded above its record closing level while dow industrials djia fell by 04 or more than 100 points the nasdaq composite index comp traded higher by 03