![Fed's Williams: rate cuts likely appropriate 'later this year'](https://i-invdn-com.investing.com/trkd-images/LYNXNPEK1M0N5_L.jpg)
© Reuters. John C. Williams, president and CEO of the Federal Reserve Bank of New York speaks to the Economic Club of New York within the Manhattan borough of New York, U.S., March 6, 2019. REUTERS/Lucas Jackson/File Photo
(Reuters) – New York Federal Reserve Bank President John Williams sees the U.S. central financial institution on observe for interest-rate cuts “later this year,” regardless of stronger-than-expected readings on inflation and the labor market in January, in keeping with an interview revealed Friday by Axios.
“My overall view of the economy basically hasn’t changed based on one month of data,” Williams mentioned in an interview carried out Thursday, noting that inflation’s progress towards the Fed’s 2% objective will be “a little bit bumpy.”
“At some point, I think it will be appropriate to pull back on restrictive monetary policy, likely later this year,” Williams mentioned. While a fabric vital change within the financial outlook might require a rethink, he mentioned, “rate hikes are not my base case,” Axios reported.