Mester: Fed yet to make progress on lowering inflation
Federal Reserve Bank of Cleveland President Loretta Mester said on Tuesday that the central bank is yet to make any progress on bringing inflation down.
Mester acknowledged that "high and persistent inflation" remains the US economy's biggest challenge and noted the Fed is ready to use "all available tools" to lower prices. She added that the size of future rate hikes will be determined by economic conditions.
The central banker pointed out inflation is expected to decline to 3.5% next year and reach 2% by 2025, but stressed it is not likely the bank will cut interest rates next year.