Fed officials still need further conviction regarding inflation

On Thursday, Loretta Mester, President of the Federal Reserve Bank of Cleveland, emphasized that maintaining the current levels of Fed policy will aid in returning still-elevated inflation to the 2% target.

Key Quotes

Current restrictive policy will help lower inflation.

Monetary policy well positioned as fed reviews more data.


It will take longer to gain confidence that inflation is moving towards 2%.


Strong economy means Fed risking little to hold policy in place.


Risks to inflation side of the Fed mandate have increased.


Downside risks to growth, hiring have fallen


Expects gradual progress on lowering inflation.


Welcomes CPI data sign of cooling inflation.


Labor market conditions are strong.