Inflation that is running below the Federal Reserve's 2% target risks dragging down inflation expectations and pushing inflation down further over the longer run, New York Fed President John Williams said Thursday. "If inflation stays too low, people will start to expect it to stay that way, creating a vicious cycle, pushing inflation further down over the longer term, and making it harder to achieve our goals through monetary policy," he said in remarks prepared for the University at Albany - State University of New York. He additionally warned that the slowdown abroad will dampen U.S. exports and affect the ... (full story)