Reiterates monetary policy 'well positioned' for current economyExpects inflation to moderate to 3.5% this yearIf Middle East war disruptions resolved soon, will lower inflation pressureWilliams expects inflation pressures to moderateThus far U.S. resilient against war economic impact'Imperative' Fed get inflation back to 2% targetSees U.S. growing at 2.25%, unemployment down to 4% in 2028Standing repo operations key tool to cap interest rate pressureFed will adjust reserve management buying as neededMiddle East war continues to contribute risks and uncertaintiesJob market has proved to be resilientWilliams has been more of a dove lately and isn't really sounding the alarm on inflation here. The 'imperative' part is notable though and suggests he's not going to support any rate cuts until he's highly confident on 2% inflation.Inflation is unquestionably elevated and well-above targetIn the coming quarters, I expect inflation to edge down This article was written by Adam Button at investinglive.com.