The Federal Reserve (Fed) will need to tighten the monetary policy "somewhat further" to lower inflation, Cleveland Fed President Loretta Mester said on Monday, per Reuters.

Additional takeaways

"Fed policy is less restrictive compared to history."

"Raising rates again will reduce risk of more action in future."

"Fed rate hikes have been moderating economic activity."

"Economy has proved stronger than expected."

"Supply chain disruptions have eased."

"Inflation is stubbornly high, stalled progress on core prices."

"Fed is closer to end of tightening campaign than its start."

"Core inflation gains too high and too broad based."

"Wage pressures remain too high to get inflation back to 2%."

"Demand for labor still outstripping supply."

"Business leaders fears of recession have declined