Fed's Williams: not concerned fiscal support is 'excessive'

FILE PHOTO: John Williams, Chief Executive Officer of the Federal Reserve Bank of New York, speaks at an event in New York, U.S., November 6, 2019. REUTERS/Carlo Allegri

(Reuters) – New York Federal Reserve Bank President John Williams said Friday he’s not worried that too much government spending could overheat the U.S. economy, and said the economy is still far from where the Fed would consider dialing back its own support.

“The economy has quite a ways to go to get back to maximum employment and we have a ways to go to get back to our 2% inflation target so I’m not really concerned about stimulus, about fiscal support right now being excessive or anything like that,” Williams said on CNBC.

“The economy has been in a very slow period due to the winter wave of COVID, spread of COVID, so right now I am in a wait-and-see mode and we are going to watch the data and see how the economy does and specifically focusing on the progress on our two goals and make the decisions that are appropriate to achieve those goals.”

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