Calling the recovery “frustratingly slow,” Federal Reserve Bank of Cleveland President Sandra Pianalto said Monday the pace of economic growth has picked up somewhat.

“If our economy were a Kentucky thoroughbred, I’d say we have moved from a walk to a trot, but we’re far from a gallop,” Pianalto told a group in Lexington, Ky., according to prepared text of her remarks released by the Fed. “The pace of growth is still frustratingly slow, and in a slow-growth economy, it is all the more difficult to generate the confidence that encourages people to expand their businesses, buy homes, and invest in activities that lead to more jobs, rising incomes, and reinvigorated communities.”

While she expects inflation to “remain close to 2% on average for the next few years,” Pianalto said, “if gasoline prices continue to climb, that could complicate the inflation picture.”

The headwinds the economy still faces include distressed housing markets, reduced state and local government spending, rising gasoline prices, and strains in European financial markets, she said.

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