Fed's Mester: Fed will need to raise rates above 5% and keep them there for a while

Loretta Mester, president and CEO of Federal Reserve Federal Reserve The Federal Reserve System, more commonly known as the Fed, represents the central banking system of the United States. Like other central banks globally, the Fed is responsible for monetary policy, in this case in the US.The Fed is one of the most watched and followed entities for forex traders, given its material impact on the US dollar. Founded initially in 1913, the Fed was created to perform a wide range of functions. This includes stabilizing and maintaining flexible monetary policy in the The Federal Reserve System, more commonly known as the Fed, represents the central banking system of the United States. Like other central banks globally, the Fed is responsible for monetary policy, in this case in the US.The Fed is one of the most watched and followed entities for forex traders, given its material impact on the US dollar. Founded initially in 1913, the Fed was created to perform a wide range of functions. This includes stabilizing and maintaining flexible monetary policy in the Read this Term Bank Cleveland branch is speaking before the Money Marketeers of New York University.

Headlines via Reuters:

• Fed will need to raise rates above 5% and keep them there for a while

• Tightening monetary policy needed to cool too hot inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term
• How much more the Fed hikes depends on economy and how it reacts
• Tighter financial conditions should create restraint on economy
• Banking sector resilient, stresses appear to have eased since last month
• Fed balance sheet cuts aiding rate-hike cycle
• Fed closely watching banking system for signs of stress
• Expects inflation to ease to 3.75% by end of year, 2% by 2025
• Expects growth to moderate this year
• Expects jobless rate to rise to between 4.5% and 4.75% this year

Full text of the speech is here:

• A Diligent and Judicious Return to Price Stability