Fed’s Williams: CPI data may have been pushed down a bit

The President of the New York Federal Reserve (Fed), John Williams, spoke at an interview conducted by the media channel CNBC on Friday.

Key Takeaways

Some of the new data has been encouraging and shows more disinflation.

CPI data had some distortions, will need more data to get good read on inflation.

CPI data may have been pushed down a bit.

New jobs data shows steady private sector job gains.

Unemployment rate may have been pushed up by distortions, but not a surprising read.

Jobs data does not show sharp deterioration in hiring market.

The data is broadly consistent with recent trends and recent Fed cut.

Monetary policy is well positioned to gather more information.

Doesn't have a 'sense of urgency' on changing monetary policy.

Key goal of monetary policy is about helping job market.

Fed policy is 'mildly restrictive,' has some room to get back to neutral.

With inflation above target, mildly restrictive monetary policy is helpful.

2025 GDP likely 1% to 1.5% but will pick up next year.

2025 GDP likely around 2.25%.

Higher productivity growth is a plus for economy.

Feels pretty good about economic base case.

Doesn't see A.I. as a systemic financial sector risk right now.

Fed should not try to anticipate market is getting it wrong.

Fed is not doing quantitative easing right now with asset buying.

Fed bond buying now is about managing reserves, is technical.

Current Fed asset buying is not designed to move long-term rates.

I do eventually see rates coming down.

Fed is in a good position to balance its goal.”