Fed's Mester: U.S. still far from central bank's inflation and employment goals

FILE PHOTO: Cleveland Federal Reserve Bank President Loretta Mester speaks in London, Britain, July 2, 2019. REUTERS/Marc Jones

(Reuters) - Despite recent improvements in the labor market and the economy, the Federal Reserve is still far from achieving its goals for inflation and maximum employment, Cleveland Federal Reserve Bank President Loretta Mester said on Monday.

The economy could end the year with the unemployment rate between 7% and 8% and with inflation above 1% but still well below the Fed’s 2% target, Mester told reporters. “So it’s still far from both of our goals, I’d say, for both employment and inflation,” Mester said.

Reporting by Jonnelle Marte; Editing by Sandra Maler