Fed's Williams calls for strong response if inflation deviates from target
TOKYO, May 28 (Reuters) - New York Federal Reserve President John Williams said on Wednesday central banks must "respond relatively strongly" when inflation begins to deviate from their target.
"You want to avoid inflation becoming highly persistent because that could become permanent," Williams said.
"We have to be very aware that inflation expectations could shift in any way that could be detrimental," Williams said in a fireside chat with Deputy BOJ Governor Ryozo Himino at the central bank's conference held in Tokyo.
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