Worried about grade deflation

Exactly. I saw the same thing on my first Chem exam. Of course, the course is still graded on a curve.
The question was asked if the exam was going to be re-graded considering the low curve and the response was something to the effect of “All these questions were part of the homework. This isn’t HS anymore. Some of you had best put a little more effort into it.”
And, guess what?
They did.