Cleveland Federal Reserve Bank President Loretta Mester said on Friday that she sees upside risks to the inflation forecast, as reported by Reuters.
Additional takeaways
"My forecast is for inflation to remain high this year and then move back down next year."
"We probably shouldn’t expect the overall labor force participation rate to approach its pre-pandemic level."
"Fed should examine the same relevant set of indicators over time and communicate its assessment of progress based on that set of indicators."
"Post-meeting policy statement would be more informative if it provided an assessment of how changes in economic and financial data affected the medium-run outlook."
Market reaction
These remarks don't seem to be having a noticeable impact on the USD's performance against its rivals. As of writing, the US Dollar Index was posting small daily losses at 92.45.