Federal Reserve Bank of Cleveland President Loretta Mester in an interview.
Mester spoke earlier:
- Fed's Mester: Inflation is still too high. Fed has more work to do
- More from Mester: Fed has come a long way in tightening monetary policy
More now:
- Growth will be slow this year, well below trend
- Banking industry is strong, resilient and sound
- Will assess at May meeting how big and how long credit tightening may be
Will evaluate peak funds rate at May meeting
Need to get rate above 5% to meet 2% inflation goal
How much higher than 5% rates will need to go, and how long will need to stay there, will depend on the economy
Don't want to give a decision now on May move until the meeting
Cleveland Fed Pres. Mester