NY Fed President John Williams says "another rate hike by year-end would be reasonable," with inflation now the main challenge as downside employment risks have eased. He views AI as a demand shock for now, but expects a productivity boom similar to 1996-2005.

New York Fed President John Williams maintained his view that "the trend in inflation" is "moving slowly down as some of the effects of the tariffs can move into the rearview mirror." In his CNBC interview, he didn't sound like someone itching to raise rates, but does note that "it's important not only that we are on that path" to make progress on inflation, "but we are on that path to do that in the foreseeable future."

NY Fed President John Williams says he "strongly" supported last week's policy decision and reaffirms the reaction function he sketched out last month. He expects inflation to decline but says "it would absolutely be appropriate" to raise rates if inflation doesn't. "I am quite honestly focused quite a bit on, what are we seeing in the core inflation ​data over the next several months, and is that consistent with a kind of a run rate of inflation moving towards 2% and really on a disinflationary path consistent ​with us achieving our 2% inflation goal on a sustained basis by 2028." "My forecast personally is for inflation to come down in ⁠the second half of this year and come down further next year." "If ​the economy is not on a trajectory that will bring inflation back down to 2% ... it would absolutely be appropriate to act to get us on a trajectory that does bring inflation back ​to 2%.” via Reuters @michaelsderby

NY Fed President John Williams: Inflation is "unquestionably elevated and well above" target, reflecting tariffs, energy, and AI-related demand for tech goods. "In coming quarters, however, I expect inflation readings to edge down" for several reasons: First, tariff effects "appear to have mostly played out." Second, a base case is that Hormuz related supply disruptions "are resolved relatively soon." Third, housing inflation should continue to slow. Fourth, there's no evidence of labor-market driven price pressures. The punchline: "Given the elevated level of inflation, it is imperative that we restore it to our 2% longer-run goal on a sustained basis. The current stance of monetary policy is well positioned to do that."

NEW YORK FED OPEN MARKETS CHIEF JOHN WILLIAMS PERLI SAYS THE FED’S RESERVE MANAGEMENT PURCHASES ARE NOT ON A PRESET COURSE, WHILE SAYING THE CENTRAL BANK’S MONETARY POLICY TOOLKIT HAS BEEN WORKING VERY WELL.

Federal Reserve Bank of New York President John Williams said the shift to central clearing for US Treasuries and Treasury-collateralized repurchase agreements was ahead of schedule.

New York Federal Reserve President John Williams said Wednesday that the recent surge in Treasury yields is the product of a strong economy, not market dysfunction. Read more:

Federal Reserve Bank of New York President John Williams said there’s evidence inflation continues to ease as the impact of tariffs fades while higher energy prices are not spreading to other services.

FED’S WILLIAMS: STRONG ECONOMY DRIVING BOND YIELDS New York Fed President John Williams says rising long-term bond yields reflect a strong U.S. economy, not growing inflation fears. He added that the labor market is solid and the Fed needs more data before its next rate decision. 纽约联储主席约翰·威廉姆斯表示，长期债券收益率上升反映的是美国经济强劲，而不是市场对通胀的担忧正在加剧。 他补充说，目前劳动力市场保持稳健，美联储在作出下一次利率决定之前，还需要观察更多经济数据。