New York Fed's Williams sees no near-term rate cuts as U.S. growth outlook remains solid

New York Fed President John Williams said on Jan. 13 he sees no reason to cut interest rates in the near term and expects the U.S. economy to sustain healthy growth through 2026, BlockBeats reports citing Jin10. Williams described himself as "fairly optimistic," projecting U.S. GDP growth of 2.5% to 2.75% this year, with unemployment stabilizing in 2024 before declining in later years. He forecast inflation will peak between 2.75% and 3% in the first half of 2025, ease to 2.5% by year-end, and return to 2% in 2027.