Fed's Williams: Neutral interest rate is likely still quite low
|Federal Reserve Bank of New York President John Williams noted on Friday that demand has cooled amid the restrictive monetary policy stance, per Reuters.
Key takeaways
"Fed is responsible for achieving price stability."
"Understanding price-wage dynamics is key research topic."
"Inflation expectations have come down quite a bit."
"Neutral interest rate is likely still quite low."
"Nobody thinks high inflation is a good thing."
"Fed focuses on mission, does not consider politics in deliberations."
Market reaction
These comments failed to trigger a noticeable market reaction. At the time of press, the US Dollar Index was unchanged on the day at 102.80.
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