NEW YORK (Reuters) – New York Federal Reserve leader John Williams reiterated on Thursday in a television interview his belief that more interest rate rises will be needed to bring down overly high levels of price pressures.
“I still think we have a ways to go in terms of where the fed funds target is and where we need to get it to next year in order to get the sufficiently restrictive stance” of monetary policy needed to lower price pressures, Williams said in a Fox Business Network interview.
As to whether the Fed can raise rates next month in an increment smaller than 75 basis points, Williams was non-committal, but noted “slowing the pace” of rate rises would simply mean “maybe stepping down one step” in the effort to get rates up the level needed to cool price pressures.
(Reporting by Michael S. Derby; Editing by Chris Reese)