Noor Trends News, Technical Analysis, Educational Tools and Recommendations
The President of the Federal Reserve Bank of New York, John Williams, said on Friday that economic recovery and low interest rates are providing background for the recent surges in the stock market and other investment assets.
“Market participants and investors around the world are looking ahead through this year and looking into an economy that hopefully have a pretty robust recovery and a strong expansion over the next several years, which would support stronger valuations.”
“I think the fundamental drivers are optimism among investors that the U.S. economy and the global economy is going to have a stronger recovery and expansion, an expectation of low rates well into the future.”
“Those combined will give you high asset valuations.”
“Right now, 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 fiscal support right now being excessive or anything like that. Really, what I want to see is an economy that gets back to full strength as soon as possible.”
Remarks by Williams came during a TV interview with CNBC.
