Central Banks
Fed’s Williams Says Peak Rate Forecasts Still ‘Very Reasonable’
- Interest rates are ‘barely into restrictive territory’
- Williams says restrictive rate needed for a few years
John Williams
Photographer: Andrew Harrer/BloombergThis article is for subscribers only.
Federal Reserve Bank of New York President John Williams said forecasts officials submitted in December are still a good guide for where interest rates are headed this year and that policy may need to stay at restrictive levels for a few years to get inflation down.
Policymakers had penciled in a median projection of 5.1% for their benchmark federal funds rate by the end of 2023, implying a couple more rate hikes this year.