New York Federal Reserve President John Williams said Tuesday he expects interest rates to continue higher and to remain at those levels until inflation is subdued. Echoing recent comments from Fed Chairman Jerome Powell, Williams told the Wall Street Journal that he also is in the higher-for-longer camp when it comes to monetary policy. “We’re going to need to have restrictive policy for some time,” he said in a live interview. “This is not something we’re going to do for a very short period and then change course.” That outlook comes just a few days after Powell also used the “for some time” language to describe his expectations for benchmark interest rates. In his annual policy speech at Jackson Hole, Wyoming, the Fed chief noted that “the historical record cautions strongly against prematurely loosening policy.”
Source: CNBC – Bonds
