Fed’s Williams says half point increase on table if needed by Bloomberg

©Bloomberg. John Williams, president of the Federal Reserve Bank of San Francisco, speaks at a Hutchins Center on Fiscal and Monetary Policy event at the Brookings Institution in Washington, DC, USA on Monday, January 8, 2018. The event was titled Should the Fed hold on to its 2 percent inflation target or rethink it. (Bloomberg) — President John Williams of the Federal Reserve Bank of New York said the pace of rate hikes should be guided by the data, including tightening by half a percentage point if necessary. “If it’s appropriate to raise rates by 50 basis points in a meeting, then I think we should. If it’s appropriate to do 25, then we should,” Williams said Friday during a virtual panel hosted by the Central Reserve Bank of Peru and the Bank of International Settlements. “I see no reason not to do one or the other, we just have to make the right decisions based on what we see in the economy.” Williams’ comments come after Fed officials raised interest rates by a quarter point for the first time since 2018 last week and forecast six more such hikes this year. Investors raised their bets on a half percentage point hike at the Fed’s May 3-4 meeting after Chairman Jerome Powell said Monday the central bank was willing to do so if it were needed to keep inflation under control. to get. Several central bankers have also expressed support for a half-point shift if necessary, including St. Louis Fed President James Bullard and Cleveland Fed President Loretta Mester. However, Atlanta Fed president Raphael Bostic said he prefers a less aggressive approach this year due to the uncertainty following Russia’s invasion of Ukraine, although he could be persuaded to move faster if necessary. ©2022 Bloomberg LP Disclaimer: Fusion Media would like to remind you that the data on this website is not necessarily real-time or accurate. All CFDs (Stocks, Indices, Futures) and Forex prices are not provided by exchanges but rather by market makers, and therefore prices may not be accurate and may differ from the actual market price meaning prices are indicative and not suitable for trading purposes . Therefore, Fusion Media does not bear any responsibility for any trading losses that you may incur as a result of using this data. Fusion Media or anyone associated with Fusion Media accepts no liability for any loss or damage resulting from reliance on any information, including data, quotes, charts and buy/sell signals on this website. Be fully informed about the risks and costs associated with trading the financial markets, it is one of the riskiest forms of investment possible.

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