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Nick Timiraos, chief economics correspondent at Wall Street Journal, reports that New York Fed President John Williams has outlined precise criteria for considering a rate increase. Williams indicated that monetary policy remains well positioned as long as core inflation does not exceed 0.2% per month on average.
This explicit threshold provides a key metric for assessing potential shifts in U.S. Federal Reserve policy should inflationary pressures rise.
Timiraos recently highlighted the Federal Reserve's shift from rate cut talks to a possible hike at Kevin Warsh's first meeting as chair, as detailed in a prior report. Federal Reserve vice chair Michelle Bowman also attended a private Bank of America client dinner in New York following a key policy decision, according to an earlier article. These events provide context for ongoing scrutiny of Fed officials' policy positions.