Fed's Williams: The US economy hasn't reached substantial further progress
Comments from the NY Fed President
- Says he doesn't view MBS buys as more focused on housing
- US home prices have increased very strongly and equity prices are at high levels but he is not worried about financial system risks
- Price spikes in certain categories are related to the reopening but it will be important to watch the data carefully
- Highlights advantages of standing repo facility
There's nothing that's going to move the market here but he's coming out clearly against tapering MBS before Treasuries.