Cleveland Fed President: Three rate cuts this year are still expected

Loretta Mester, president of the Federal Reserve Bank of Cleveland, said that inflation data released on Thursday showed that policymakers have more Long work to cool price pressures, but also pointed out that she has not changed her expectation that the Federal Reserve will cut interest rates three times this year. She said that didn’t really change her view that inflation would fall to its 2% target over time, but it did show that the Fed still had some unfinished business. For now, if the economy develops as she expects, she feels it’s the right one. Fed officials will update these projections at their March 19-20 meeting.