Williams Ties Rising Yields to Strong Economy
New York Fed President John Williams stated that rising long term bond yields reflect a solid economy rather than inflation fears. He emphasized that upcoming monetary policy decisions depend on incoming economic data.
Federal Reserve Bank of New York President John Williams said Wednesday that rising long-term bond yields reflect a solid economy rather than inflation fears. The comments come as borrowing costs surge across the United States, rattling investors and prompting intervention from the Treasury Department. Williams indicated that higher rates do not override the central bank's focus on hitting its 2% inflation target.
