Federal Reserve Bank of San Francisco President John Williams speaking on the economic outlook and monetary policy in New York from a prepared text.
- Expects labor market slack to dissipate and inflation to rise
- Forecasts eco growth at about 3% in 2014 and 2015
- Says housing is becoming ‘tailwind’ for growth
- Policy ‘needs to remain highly accommodative’
- Inflation may accelerate faster than forecast
- Favors ‘qualitative guidance’ for interest-rate path
- Says Fed will need to modify interest-rate guidance
- Says recovery ‘shifted to a healthy, stronger path’
