WASHINGTON — In light of his expectations of an inflation rate below the U.S. central bank's target of 2% and a still "elevated" unemployment rate over the next two years, Minneapolis Federal Reserve President Narayana Kocherlakota estimated Thursday that the Fed's monetary policy, if anything, is currently "too tight."

"My own forecast, conditional on the FOMC's current monetary policy stance, is that inflation will run below the Fed's target of 2% over the next two years and the unemployment rate will remain elevated," Kocherlakota said in remarks prepared for delivery at a Public Town Hall Forum at the Minneapolis Federal Reserve.

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