(Reuters) – San Francisco Federal Reserve Bank President Mary Daly on Friday said she believes inflation is gradually cooling, saying the latest data showing inflation did not rise at all from April to May is “good news that policy is working.” “We are getting evidence that (policy) is tight enough,” Daly told CNBC in an interview. “It’s really challenging to look anywhere and not see monetary policy working. We have growth slowing, spending slowing, the labor market slowing, inflation coming down.”
Still, Daly said, there is more work for policy to do, and she expects inflation to be above the Fed’s 2% goal potentially through the end of 2025.