More from Fed's Mester: Expect unemployment to end year in 7% to 8% range

More from Cleveland Fed Pres. Loretta Mester

• US inflation is lower than the Fed's goal but will eventually rise if recovery continues
• She expects US unemployment rate to end year in 7% to 8% range
• US economy is still far from achieving both inflation and employment goals
• Fiscal and monetary stimulus is meant to limit longer run damage to economy but recovery is still fragile
• The longer crisis goes on the more disruptive it will be; some people will have to find work in new areas
• Monetary policy is well calibrated and asset purchases are providing accommodation
• Too early to say if more asset buying is needed
• Sees inflation slightly above 1% year-end
• It's still a fragile recovery

The Fed's projections for end of year unemployment came in at 7.6% in their central tendencies projections after the last Fed meeting. PCE inflation is estimated at 1.2%. As such, Mesters estimates are in line with those projections.