- Williams said rising Treasury yields reflect a strong US economy and outlook rather than market dysfunction.
- He said recent inflation data are encouraging but insufficient to determine whether current monetary policy will return inflation to target over the next one to two years.
- Markets put the odds of a Fed rate hike at the September 15-16 meeting near 66% as Treasury yields reached multi-year highs.
Quotes
“I think that we have to wait and see”
“What's driving it, in large part, is ... really a strong U.S. economy and a strong economic outlook fueled by big investments in AI and data centers and technology in general”
“So, I think it's not really about financial conditions affecting the economy. It's more about the economy affecting financial conditions.”