Federal Reserve's Williams: Current Economy Not Facing Stagflation, Balance Sheet Contraction Slowdown is a Natural Next Step

Blockbeats03-31

BlockBeats News, April 1st, Federal Reserve's Williams stated that there is indeed a risk of inflation being higher than the Fed's forecast. I predict that inflation will remain relatively stable this year, but there is an upside risk. I will not predict the possibility of an economic recession; currently, the economy is very robust with the support of a strong job market.

The Fed will not let high inflation "take root." There is currently no stagflation in the economy. Economic growth is expected to continue, but at a slower pace than last year.

Long-term inflation expectations have stabilized. The Fed's balance sheet reduction slowing down is the natural next step. (FXStreet)

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