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Fed's Williams (voter) says commercial real estate has improved more than expected, risks have declined

Importance
Level 1

AI

  • AI will likely lift productivity, but the level of increase is hard to say.
  • Tech like AI will take a long time to impact the economy.
  • Employers are being cautious with new hires.
  • Current job market softness is not AI-related.

MARKETS

  • There has been a lot of market volatility as investors parse the info.
  • Markets have functioned remarkably well.
  • Good liquidity levels are good for financial stability and broader economy.
  • Liquidity is better than expected given the uncertainty.
  • Treasury market has been working extremely well.

CREDIT

  • Private credit issues are not broader financial stability risks.