MNI BRIEF: Strong Job Data Bode Well For Growth-Fed's Williams
NY Fed president raising growth forecasts somewhat in part due to stronger-than-expected jobs figures.
Federal Reserve Bank of New York President John Williams said Thursday labor market data have been coming in stronger than expected, prompting him to raise growth forecasts.
Judging the degree of imbalance in labor supply and demand will factor into the Fed's estimate of what is "sufficiently restrictive" policy, he added without giving a specific forecast for the peak fed funds rate.
"Clearly some of the new inflation information has been encouraging, but the labor market has been coming in stronger than expected. I’ve been raising somewhat my forecast for growth and my view of the underlying strength of the labor market," he told the Fixed Income Analysts Society in New York.