{"id":528205,"date":"2022-12-16T19:29:33","date_gmt":"2022-12-16T16:29:33","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/feds-john-williams-says-rates-could-go-higher-than-forecast\/"},"modified":"2022-12-16T19:29:33","modified_gmt":"2022-12-16T16:29:33","slug":"feds-john-williams-says-rates-could-go-higher-than-forecast","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/feds-john-williams-says-rates-could-go-higher-than-forecast\/","title":{"rendered":"#Fed&#8217;s John Williams says rates could go higher than forecast"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2598fd01077\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2598fd01077\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/feds-john-williams-says-rates-could-go-higher-than-forecast\/#%E2%80%9CFeds_John_Williams_says_rates_could_go_higher_than_forecast%E2%80%9D\" >&#8220;Fed&#8217;s John Williams says rates could go higher than forecast&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/feds-john-williams-says-rates-could-go-higher-than-forecast\/#%E2%80%98Absolutely_committed\" >\u2018Absolutely committed\u2019<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CFeds_John_Williams_says_rates_could_go_higher_than_forecast%E2%80%9D\"><\/span>&#8220;Fed&#8217;s John Williams says rates could go higher than forecast&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div>\n<aside class=\"single__inline-module alignleft\">\n        <\/aside>\n<p>New York Federal Reserve President John Williams said on Friday it remains possible the US central bank raises interest rates more than it currently expects next year, adding that he\u2019s not expecting the economy to fall into recession as Fed policymakers press forward with action to tame unacceptably high inflation.<\/p>\n<p>\u201cWe\u2019re going to have to do what\u2019s necessary\u201d to get inflation back to the Fed\u2019s 2% target, Williams said in an interview on Bloomberg\u2019s television channel. He said monetary policy will need to become restrictive and the peak federal funds rate next year, which Fed policymakers projected this week at 5.1%, \u201ccould be higher than what we\u2019ve written down.\u201d<\/p>\n<p>Williams, who is also vice chair of the rate-setting Federal Open Market Committee, noted that \u201cinflation has been stubbornly high \u2026 and we\u2019ve seen the economy remain very resilient to higher interest rates.\u201d<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/12\/john-williams-fed.jpg?w=1024\" alt=\"New York Federal Reserve President John Williams\" class=\"wp-image-25036910\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/12\/john-williams-fed.jpg?quality=75&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/12\/john-williams-fed.jpg?quality=75&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/12\/john-williams-fed.jpg?quality=75&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>\u201cWe\u2019re going to have to do what\u2019s necessary\u201d to get inflation back to the Fed\u2019s 2% target, NY Fed President Williams said.<\/figcaption><figcaption><span class=\"credit\">REUTERS<\/span><\/figcaption><\/figure>\n<p>But when it comes to some Wall Street forecasts that argue the Fed may need to go as high as 6% or 7% on the federal funds rate target, Williams said \u201cthat\u2019s definitely not my baseline.\u201d<\/p>\n<p>Williams was the first Fed official to weigh in after the\u00a0central bank\u00a0on Wednesday raised its benchmark overnight interest rate by half a percentage point to the 4.25%-4.50% range, as expected. The Fed also upgraded its estimate of how far it will need to raise rates to lower inflation and predicted weaker economic growth and higher unemployment.<\/p>\n<aside class=\"single__inline-module alignright\">\n    <\/aside>\n<p>In his <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> conference after the end of the Dec. 13-14 policy meeting, Fed Chair Jerome Powell acknowledged that the actions he believes the central bank will need to take will create challenges for the economy, saying \u201cI wish there were a completely painless way to restore price stability. There isn\u2019t, and this is the best we can do.\u201d<\/p>\n<p>Williams said he doesn\u2019t see a downturn in the economy as inevitable, noting that in terms of the Fed\u2019s current outlook, \u201cI don\u2019t see this as a recession. We\u2019re clearly not in a recession right now.\u201d<\/p>\n<p>The\u00a0minutes\u00a0from the Fed\u2019s November policy meeting showed that central bank staff economists viewed the risks of recession against continued growth as roughly even. Meanwhile, on Thursday, the New York Fed said its\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.newyorkfed.org\/research\/policy\/dsge#\/interactive\">internal economic model<\/a>\u00a0sees a 0.3% decline in overall activity next year and flat growth in 2024, with a return to growth\u00a0the year after.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"%E2%80%98Absolutely_committed\"><\/span>\u2018Absolutely committed\u2019<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The New York Fed chief also said recent inflation data has been more positive amid improving supply chains and other factors, but he said high service-sector inflation remains an issue and a target of Fed action. He added that wage gains are high but not something akin to a 1970s-style force driving up overall price pressures.<\/p>\n<p>The Fed has faced criticism for being too slow to start raising rates to lower inflation, which has been running at 40-year highs, but Williams said that he doesn\u2019t believe the central bank has lost credibility with markets and the public.<\/p>\n<p>\u201cWe\u2019re absolutely committed to get inflation back to our 2% goal, and we\u2019re acting in that way,\u201d Williams said, adding \u201cI don\u2019t think we\u2019ve lost the credibility\u201d of being seen as resolute inflation fighters.<\/p>\n<p>Williams also said that in terms of any possible disconnect between the market and Fed views of the economic future, \u201cI think pretty much everyone understands that real interest rates need to get restrictive and stay there.\u201d\n                        <\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/nypost.com\/2022\/12\/16\/feds-john-williams-says-rates-could-go-higher-than-forecast\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Fed&#8217;s John Williams says rates could go higher than forecast&#8221; New York Federal Reserve President John Williams said on Friday it remains possible the US central bank raises interest rates more than it currently expects next year, adding that he\u2019s not expecting the economy to fall into recession as Fed policymakers press forward with action&#8230;<\/p>\n","protected":false},"author":1,"featured_media":528206,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/12\/john-williams-fed-1.jpg?quality=75&strip=all&w=1024","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[137314,5069,70550,70551,70552,48305],"class_list":["post-528205","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-12-16-22","tag-economy","tag-federal-reserve","tag-inflation","tag-interest-rates","tag-john-williams"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/528205","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=528205"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/528205\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/528206"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=528205"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=528205"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=528205"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}