Fed's Williams said the Fed will "absolutely not" let market levels dictate
policy, while noting the central bank is watching financial markets closely. He
said the Fed must remain independent and continuously assess all factors
affecting the economy and outlook. Williams expressed optimism on AI's prospects
and called recent sector swings unsurprising, saying asset-price volatility is
inevitable in a highly innovative, fast-changing world. On corporate borrowing,
he said current leverage differs from levels that caused the crisis two decades
ago and high corporate profitability limits his near-term financial-stability
concerns.
