NEW YORK (Reuters) – Federal Reserve Bank of Cleveland President Loretta Mester reiterated Tuesday getting inflation down remains critical for the central bank.
“Given high levels of inflation, restoring price stability remains the number one focus of the (Federal Open Market Committee) and we’re committed to using our tools” to get inflation back to the 2% goal, Mester said in opening remarks at a virtual event. She did not comment on the monetary policy outlook.
Mester said that wage gains are clearly up, while adding that in most cases they remain below inflation, suggesting worker pay is not a key driver of inflation. She also said inflation expectations readings remain stable.
(Reporting by Michael S. Derby)