Federal Reserve Bank of New York President John Williams said inflation risks have receded, while those for employment have moved up.
There’s been a “kind of re-balancing of the risks, from one where inflation was the big risk to one where employment and inflation — the risks to them — have moved closer together,” Williams said Monday during a question-and-answer session in Rochester, New York. “It made sense to move interest rates down a little bit to take a little bit of the restrictiveness out of there.”