Neel Kashkari, President of the Federal Reserve Bank of Minneapolis, said more data was needed to know whether the process of bringing inflation back to the 2% target had stalled.

Kashkari saiddoubledownfreecoins:"It is a bit premature to say that it must have stalled."

“doubledownfreecoinsWe are in a good position now, the labor market is still strong, and we can take a moment to get more data to see if the decline in inflation will continue. If it is, that's great; if not, then we need to consider this."

Kashkari said there are areas of the economy that are slow to respond to monetary policy, such as housing.

Kashkari told the Milken Institute global conference earlier on Tuesday that the Fed may keep interest rates at current levels for an "extended period of time" until officials are confident inflation is moving towards target levels.