May 7 (Reuters) - Americans were unworried at the prospect of a broader inflation breakout in April despite rising price pressures driven by war in the Middle East, a survey released by the Federal Reserve Bank of New York said on Thursday.

Respondents to a survey from the bank said that as of last month, they expected to see inflation a year from now at 3.6%, a modest rise from the 3.4% seen in March. Expected inflation at the three- and five-year horizons, however, held steady at 3.1% and 3%, respectively. The year-ahead inflation forecast matched year-ahead expectations in the April 2025 survey.

Households responding to the bank's Survey of Consumer Expectations also pared back on expectations of future gasoline price rises, with the April year-ahead projection down "sharply" to 5.1%, from March's 9.4% reading. April year-ahead expected food price inflation views also moderated.

The public's relatively sanguine view on the future path of inflation contrasts with data showing rising current inflation pressures tied to the ongoing impact of President Donald Trump's large import tax hikes, coupled with surging gasoline prices tied to supply chain disruptions resulting from the Middle East war.

Worries about inflation have risen to the point that numerous Federal Reserve officials have noted their opposition to the central bank's decision last week to retain a leaning toward cutting interest rates at some point in the future.

Inflation, as measured by the March personal consumption expenditures price index, was up by 3.5% from the same month a year before, a sharp increase from February's 2.8% year-over-year gain. The Fed's inflation target is 2%.

With the war unresolved and pressures on the global economy mounting from the lack of resolution in the conflict, there are widespread expectations among market participants that inflation will likely rise further. Some Fed officials have even argued the central bank may have to weigh rate increases at some point to bring price pressures back in line.

The relative calm over the future path of inflation in the New York Fed survey contrasts with consumer sentiment data from the University of Michigan, which in April showed notable deterioration in expectations for both the three- and five-year-ahead time horizons. Market expectations around the path for longer-run inflation have also risen.

At the same time, gasoline prices have been on a steady rise with the possibility that war-related disruptions will cause even bigger gains in the future. Data released by the New York Fed on Wednesday showed a big rise in supply chain disruptions along the lines of those suffered during the COVID-19 pandemic, pointing to another vector for rising price pressures.

ANCHORED EXPECTATIONS

Speaking on Monday ahead of the survey's release, New York Fed President John Williams said, "inflation expectations have remained well-anchored despite the deluge of shocks," adding market estimates tell a similar story.

"This is critically important, because well-anchored expectations have proven to be invaluable to ensuring price stability during unexpected shocks and extreme uncertainty," Williams said.

The New York Fed survey found that households held mixed views about the current and future state of their personal finances in April, and saw credit as harder to get now and in the future relative to March.

The survey also found mixed expectations around hiring and earnings and income, with survey respondents projecting higher unemployment a year from now.