Federal Reserve's Mester: The expectation of cutting interest rates three times this year is no longer appropriate

Cleveland Federal Reserve Chair Loretta Mester said on Monday that she believes the Fed's monetary policy is restrictive, inflation will fall back towards the Fed's 2% target, but not quickly. Mester previously thought that the Fed might cut interest rates three times this year, but "given what I see in terms of economic evolution now, I don't think it's appropriate anymore," she said. "Given the stagnation of inflation progress in the first quarter, inflation risks have risen and frankly speaking, things are stronger than I expected."