San Francisco Fed head Williams comments during audience, press Q&A

Head of the San Francisco Fed John Williams held a Q&A session with audience members at the San Fran Fed, as well as members of the press.

Key points:

• Federal government has an unsustainable fiscal path
• Federal Reserve focusing on inflation as the job market has tightened
• Federal Reserve is not coordinating policy other central banks
• Recent market turmoil hasn't fundamentally changed policy or economic outlook
• US economy can clearly handle gradually rising interest rates
• Could see inflation pressures if economy continues to add two million jobs this year
• Still sees Fed on a very gradual tightening path, but wage data can confirm that US has a strong labour market
• Williams has no strong difference of view between three or four Fed rate hikes this year