Fed's Williams: Fed should continue to raise rates slowly

Below are the key highlights, via Reuters, from the speech delivered by San Francisco Federal Reserve President John Williams to an economic forecast luncheon.

Should continue to raise rates slowly over the coming year.

Not raising rates to more normal levels risks recession.

Forecasts 2.5 pct U.S. GDP growth in 2017, slower pace over next few years.

U.S. unemployment rate bottoming out at 3.75 pct next year.

Expects inflation to rise in 2018.