Federal Reserve Bank of Cleveland leader Loretta Mester said it will take more tightening for the Fed to get inflation back to 2%.

Key comments

''Data shows inflation not yet on trend to get back sustainably to 2% target.''

''Strong inflation pressures are ‘still with us’.''

''Focus on 25bps versus 50bps misses bigger picture.''

''Will need to go above 5% funds rate, stay there for a while.''

''Needs to keep at rate hikes until inflation trend breaks lower.''

''Declines to say what size rate rises needed at March FOMC.''

''View on inflation and economy remain unchanged by latest data.''

US Dollar update

The US Dollar climbed to seven-week peaks on Friday after data showed US inflation accelerated while consumer spending rebounded last month.

A correction could be on the cards for the days ahead.