Fed's Williams: High levels of debt not creating much risk for economy right now

New York Federal Reserve President John Williams said on Tuesday that he expects to see very low inflation and very low interest rates "for the foreseeable futures."

Additional takeaways

"As we continue to increase balance sheet it helps to support the economic recovery."

"Once the economy is stronger, the Fed may reach a point where it is not necessarily growing the balance sheet."

"We're still in a very weak economy with high unemployment and that's what we're focused on."

"A big unanswered question is how did COVID fundamentally shift how we structure our economy."

"There are concerns about structural or longer-term damage to the economy which would potentially lower the neutral rate."

"High levels of debt are not creating that much risk for the economy right now."

Market reaction

These comments don't seem to be having a significant impact on the greenback's performance against its rivals. As of writing, the US Dollar Index was down 0.37% on a daily basis at 93.92.