Jan 12 (Reuters) - Kansas City Federal Reserve President Esther George on Tuesday said the Fed has the tools to "rein in" inflation if needed, but added that she does not expect the Fed to react if inflation rises only slightly above its 2% goal.
Indeed, she noted, the U.S. economy was able to grow before the crisis with little upward pressure on inflation even when unemployment was as low as 3.5%, as it was in early 2020. That level of unemployment will be a "marker" for the Fed as it assesses what full employment is, she said. (Reporting by Ann Saphir; Editing by Chizu Nomiyama)
