Fed's Williams: Further Fed rate cuts expected

U.S. New York Fed President Williams said on Monday that the Federal Reserve may cut its interest rate target further as inflationary pressures continue to cool. Speaking at a meeting of the Queens Chamber of Commerce in New York, Williams said, ‘Monetary policy remains in a restrictive range to support a sustainable return of inflation to the 2 per cent target.’ Looking ahead, ‘I expect a continued shift to more neutral policy settings will be appropriate over time,’ Williams said, adding that the policy path will depend on the data. If we've learned anything over the past five years, it's that the outlook remains highly uncertain. Williams did not give clear guidance on the timing of a rate cut or whether he thinks the Fed will lower its rate target at this month's FOMC meeting.