Comments from Mester to reporters:

  • Fed can start tightening this year if economy improves as forecast
  • Every meeting is on the table
  • Economy 'at or nearly at' full employment
  • Expects inflation to start to rise on heels of dollar and oil moves
  • Wage rises no a precondition to rate hike
  • Sees 3.75% long-run Fed funds rate

Mester is a hawk but she doesn't sound particularly eager to hike rates.