Taking a hit: People going to a career fair in Los Angeles, California. New York Fed leader John Williams says monetary policy will slow growth to about 1.25% this year and cause the unemployment rate, now at 3.7%, to rise to 4%. — AFP
NEW YORK: Federal Reserve Bank of New York (New York Fed) president John Williams says that it’s still too soon to call for rate cuts as the central bank still has some distance to go on getting inflation back to its 2% target.
The policymaker also said that banking sector liquidity levels do not signal any near-term need for the Fed to stop the contraction of its balance sheet, a process which has complemented rate hikes aimed at bringing inflation back to 2%.
