Fed's Mester says inflation is going to remain hard to predict

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Fed's Mester says inflation is going to remain hard to predict
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The Cleveland Fed president said the Fed hasn't done a very good job of predicting inflation, and it is going to remain challenging.

It is going to be difficult for Federal Reserve officials to discern signal from noise about inflation given all the conflicting supply-and-demand factors influencing prices, Cleveland Fed President Loretta Mester said Monday.

“We have to understand that inflation is going to be continuing to be hard to predict,” Mester said, in a talk at the Massachusetts Institute of Technology. Mester said she was going to be “very cautious” before declaring victory over inflation, which remains at the highest levels in 40 years.

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