Federal Reserve's Williams: Slowing employment and easing inflation risks support Fed rate cuts

BlockBeats news, on December 16, Federal Reserve's Williams stated that the cooling labor market and easing inflation risks provided the basis for the Fed's rate cut decision last week. This is Williams' first public comment on last week's rate cut decision.

He said he is increasingly confident that price increases will continue to slow. Williams noted that inflation is "temporarily staying" above the Fed's target, but he believes that as the impact of tariffs is absorbed more broadly by the economy next year, inflation could continue to decline.

Meanwhile, he stated that although employment conditions have not deteriorated sharply, they are gradually cooling, as reflected in official data as well as consumer and business surveys. Williams said that overall, these changes in pressure on the Fed's two main economic goals supported last week's rate cut decision. (Golden Ten Data)