Fed's Williams ties rising bond yields to strong economy, CNBC reports
TLT•Williams says higher yields reflect economic strength
Federal Reserve Bank of New York President John Williams said on Wednesday rising long-term bond yields are not driven by inflation fears but are instead a reflection of a solid economy, in comments that also said he was still collecting information to drive his next monetary policy decision.
In terms of the increase in real-world borrowing costs, “what's driving it ... is really a strong U.S. economy and a strong economic outlook fueled by big investments in AI and data centers and technology in general. So I see this as more of a reflection of the strength of the economy,” Williams said on CNBC.
