Fed's Williams: Near Term, Inflation Around 4% And Core Inflation Around 3%

SCOOP: U.S. and Iran reach deal but need Trump's final approval, officials say U.S.–IRAN DEAL PENDING TRUMP APPROVAL U.S. and Iranian negotiators have agreed on a 60-day ceasefire and framework for nuclear talks, but the deal still awaits final approval from President Trump. The memorandum would reopen negotiations on Iran’s nuclear program, ensure…

The IRGC said it carried out an attack on a U.S. airbase in retaliation for an incident near Bandar Abbas Airport, Tasnim reported. IRGC stated that any escalation by the U.S. would be met with a “more decisive” Iranian response. Iran’s Revolutionary Guard Corps said the U.S. is responsible for the outcome of recent developments, according to Tasnim.

Thank you for the opportunity to speak today. I’d like to discuss one of the most fundamental challenges we face as economic policymakers: understanding structural economic change as it happens. There are many types of structural change that create such a challenge, including changes in the famous star variables like the natural rates of unemployment and interest. But today, I’ll focus on shifts in the trend rate of productivity growth. I’ll boil this topic down to a simple two-part question: how does the economy respond to a shift in the rate of productivity growth, and what does it mean for monetary policy? It may seem like a basic question that should have been long settled by now. But the further you delve into trying to answer it, the more nuanced it becomes. This question is especially timely today because of all the attention on artificial intelligence and its potential to spur a productivity boom. But this is not our first productivity growth rodeo. Thankfully, history provides important lessons for us to learn from. Think back to the 1970s, when the United States experienced a pronounced productivity slowdown following a quarter century of remarkable postwar growth. This was followed by an acceleration beginning in the mid-1990s, which itself reversed in the mid-2000s. These episodes weren’t minor statistical curiosities—they fundamentally reshaped the macroeconomic landscape. The productivity slowdown of the 1970s contributed to stagflation. And the productivity boom of the late 1990s and early 2000s was a contributing factor to that decade’s economic prosperity with low in Fed's Williams does not comment on near-term monetary policy outlook.