SF president Williams talking to the BBC a few hours ago but being broadcast again 10 Nov

  • makes sense, at least based on the information I have today
  • pencilling in 3 more hikes for 2018 to return to a normal level of 2.5%
  • Yellen has done a fantastic job during a very difficult time
  • expects Powell to continue "making sure that we have a strong consensus around our policy decisions and strategy".

He's consistent at least. Been banging out the same mantra for months now.

Williams said that central bankers globally faced new problems.

"Due to fundamental shifts in demographics and slower growth," he said, "the new normal for interest rates is likely to be much lower in the future than in the past."

He added: "I think this is going to be the big challenge for us going forward - how to operate monetary policy effectively when the normal or average interest rate is 2.5 to 3%.

"During a recession, the typical response of a central bank like the Fed would be to cut interest rates by five percentage points to stimulate the economy.

"Well, if you're starting from 2.5 or 3%, you obviously don't have as much manoeuvring room to give the economy a boost."

Once again the concerns are focussed around creating wiggle room for when the next crisis comes along. This is the main issue/reason I have been offering all year.

More from the Beeb interview here