MNI BRIEF: Fed’s Williams Sees No Urgency To Cut Rates
NY Fed President expects rate cuts later this year; does not foresee need for any further hikes.
The Federal Reserve can take its time to see if monetary policy is convincingly bringing inflation back to the central bank's 2% target before lowering interest rates, New York Fed President John Williams said Thursday, adding that he expects cuts are likely at some point later this year.
“We can take time, analyze the data, see ‘is monetary policy getting the job done,’” Williams said during a Q&A. “I do expect us to cut interest rates later this year. There’s not a sense of urgency to do that.” (See MNI INTERVIEW: Fed To Stay Patient Given Bumpy Inflation-Groen)
Williams says he does not foresee any need to raise interest rates further unless the economic outlook changes materially.