Fed's Williams notes few chances to measure appropriate reserve levels

NEW YORK, May 22 (Reuters) - Federal Reserve Bank of New York President John Williams said Thursday it's hard to measure the appropriate level of reserves in the market given a lack of historical experience.

When it comes to the point where reserve levels have contracted enough that it would justify things like stopping the contraction of the Fed's balance sheet sheet, there are simply very few observations to help drive a firm understanding of appropriate liquidity levels, Williams said at a New York Fed conference.