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New York Fed's John Williams Says Another 2026 Rate Hike Is Reasonable
Williams said downside risks to full employment have eased, while inflation remains a significant challenge and artificial intelligence demand is strong.
New York Fed President John Williams said another interest-rate increase before the end of 2026 would be reasonable, signaling that persistent inflation could keep pressure on the Federal Reserve to tighten policy.
Williams said downside risks to achieving full employment have diminished. He also said inflation remains a significant challenge, while demand linked to artificial intelligence is strong.
No timing for a possible increase was given.
The Federal Reserve’s next policy decisions will determine whether officials act on that option before year-end.
