Fed's Williams sees three rate hikes without any fiscal stimulus

San Francisco Federal Reserve Bank President John Williams on Tuesday said he sees a "good case" for three rate hikes this year even without any fiscal stimulus, but if the economy accelerates, the Fed would need to raise rates faster.

Williams told reporters after a speech at Sacramento State University that he penciled in some fiscal stimulus to his forecast, and expects growth to be slightly faster in the second half of this year and next year as a result. But a big tax cut or other substantial fiscal stimulus could prompt him to factor in faster growth, and more aggressive rate hikes.