Fed's Mester: Economic growth to be in range of 6% to 7% this year

Cleveland Fed President Loretta Mester said on Thursday that she expects the US economic growth to be in the range of 6% to 7% this year, as reported by Reuters.

Additional takeaways

"Economic outlook is bright even though some risks remain."

"International virus situation makes it clear the virus still poses a risk to the outlook."

"Housing is surpassing pre-pandemic levels but commercial real estate continues to struggle."

"Fiscal support has been important to consumer spending."

"We need to see further progress and broader progress in the economy before we are back to pre-pandemic labor market conditions."

"There appears to be slack in the labor market but many firms are having a hard time finding workers they need."

"Child care issues, health concerns are limiting labor supply."

"As vaccinations are more widely distributed and health concerns addressed there will be strong job gains."

Market reaction

The US Dollar Index showed no immediate reaction to these comments and was last seen losing 0.3% on a daily basis at 90.98.