US Central Bank Ready To Reassess View On Monetary Policy In 2019 - New York Fed President

WASHINGTON (UrduPoint News / Sputnik - 21st December, 2018) The US Federal Reserve is willing to re-evaluate its position on interest rate hikes next year depending on the economic outlook, New York Fed President John Williams said in an interview on Friday.

"When we see changes in the economic outlook, we are ready to reassess our view and, obviously, we are ready to shift our view on monetary policy to best achieve our goals of maximum employment and price stability," Williams told CNBC.

On Wednesday, the Fed increased the benchmark interest rate by 25 basis points to a range of 2.25 to 2.5 percent. The Fed also indicated that it would press ahead with its plans for more rate hikes next year, despite signs that global economic growth could be slowing.

The announcement triggered a sharp sell-off in the US stock market.� �

Williams said in the interview that the Fed was "listening" to the market and apparent investor concerns, but noted that several factors have been contributing to volatility in recent months, including slowing global growth and concerns over the US trade war with China. The Fed's job is to carefully review the situation in the markets and "come to its best judgment,"� he added.

Wednesday's rate hike was the fourth time the US central bank raised the federal funds rate this year. President Donald Trump has criticized the Fed's policy, saying it is proceeding too quickly with rate hikes, though he has said that he will not intervene in the central bank's decision-making process.