Fed’s Williams: After fast rate hikes this year, uncertainty over what’s next

Reuters

MAYAGUEZ, Puerto Rico – The Federal Funds rate will need to rise as high as 3.5% by the end of the year but what follows after that is far less certain, New York Federal Reserve president John Williams said on Friday.

“Getting to something like 3 to 3.5 by the end of the year seems pretty clear to me that that’s what we are going to need to do,” said Williams, who did not specify if he favors a half point or three-quarter point increase at the Fed’s upcoming July meeting. “How high we need to get next year really depends on what happens with inflation, inflation expectations and honestly how much slowing we see in the economy. I don’t have a great answer for that.”

(Reporting by Howard Schneider, Editing by Franklin Paul)

tagreuters.com2022binary_LYNXMPEI670TV-BASEIMAGE

You appear to be using an ad blocker

Shore News Network is a free website that does not use paywalls or charge for access to original, breaking news content. In order to provide this free service, we rely on advertisements. Please support our journalism by disabling your ad blocker for this website.