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SF Fed's Yellen supports inflation objective

San Francisco Federal Reserve President Janet Yellen backed the idea of an explicit inflation objective on Friday 27 May, if not a strict inflation "target," to boost the effectiveness of U.S. monetary policy.

Consideration of such an objective would be a "natural next step" for the Federal Open Market Committee, Yellen said, noting that the Fed has taken several steps over the years to improve communication to the public.

"While I am mindful of the potential costs of announcing an inflation

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